Suppose that the next FOMC meeting is coming up in a few days and the official inflation and output gap numbers have just been released. The current federal funds rate is 1.25​%, the​ long-term fed funds rate target is 3.25%, and the inflation rate target is 2%. According to the​ release, inflation is currently at 1.25 percent and the output gap is​ -0.5 percentage points. Given the information​ above, the expected federal funds rate is _____ percent.

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