Happiness Is a Normal Yield Curve

‘I never liked quantitative easing. Flattening the yield curve is not stimulative; flattening the yield curve is anti-stimulative.’
– Ken Fisher
‘There is a limit to how much the United States Treasury can borrow.’
– Alan Greenspan
‘In other words, we have the models we have because of inertia and theology, but also because all we can do is all we can do.’
– Kit Webster
‘[T]he specific manner by which prices collapsed is not the most important problem: A crash occurs because the market has entered an unstable phase, and any small disturbance or process may have triggered the instability. Think of a ruler held up vertically on your finger: This very unstable position will lead eventually to its collapse, as a result of a small (or an absence of adequate) motion of your hand or due to any tiny whiff of air. The collapse is fundamentally due to the unstable position; the instantaneous cause of the collapse is secondary.’
– Didier Sornette, French geophysicist

This post was published at Mauldin Economics on July 29, 2017.