An investor in Treasury securities expects inflation to be 1.8%
in Year 1, 2.2% in Year 2, and 3.15% each year thereafter. Assume
that the real risk-free rate is 1.75% and that this rate will
remain constant. Three-year Treasury securities yield 5.20%, while
5-year Treasury securities yield 6.00%. What is the difference in
the maturity risk premiums (MRPs) on the two securities; that is,
what is MRP5 - MRP3? Do not round intermediate calculations. Round
your answer to two decimal...