http://www.arnoldkling.com/blog/john-mauldin-on-japan/ taking the most charitable view of those who disagree Mon, 21 Dec 2020 16:41:22 +0000 hourly 1 https://wordpress.org/?v=4.0.32 http://www.arnoldkling.com/blog/john-mauldin-on-japan/#comment-7302 Wed, 16 Jan 2013 16:49:00 +0000 http://www.arnoldkling.com/blog/?p=435#comment-7302 Right, but since people prefer to consume now rather than later, and prefer a dollar for sure over a dollar under uncertainty, it is bizarre when the rate of return is negative. If this were gravity, we should not conclude that the law is overturned before we have carefully examined all sorts of frictions and other explanations.

]]> http://www.arnoldkling.com/blog/john-mauldin-on-japan/#comment-6973 Tue, 15 Jan 2013 17:57:34 +0000 http://www.arnoldkling.com/blog/?p=435#comment-6973 metaphors like the “law of gravity” are similar to “divine rights” of medieval kings. It’s a bargaining situation and there is not “natural law” that one side is entitled to anything like a positive real return.

]]> http://www.arnoldkling.com/blog/john-mauldin-on-japan/#comment-6956 Tue, 15 Jan 2013 17:17:54 +0000 http://www.arnoldkling.com/blog/?p=435#comment-6956 Might there be tax advantages that explain why certain “risk-free” bonds have been bid up to negative interest rates?

]]>