Sep

15

I would say again it's the level of interest rates versus the rate of return on capital. Consider the rate of return of 15% versus 3% interest rates. Eventually, the 15% will be 1000 times as great as the 3% in 20-50 years. The differential is what matters because of compounding. The difference between the situation in 1987 and today is that rates were about 8 or 10% then. The compounding effect didn't swamp it. We'll go much higher shortly one believes.


Comments

WordPress database error: [Table './dailyspeculations_com_@002d_dailywordpress/wp_comments' is marked as crashed and last (automatic?) repair failed]
SELECT * FROM wp_comments WHERE comment_post_ID = '10624' AND comment_approved = '1' ORDER BY comment_date

Name

Email

Website

Speak your mind

Archives

Resources & Links

Search