The liquidity trap has a floor. It also apparently has a ceiling.
Bids for the $21 billion auction of 10-year U.S. government debt attracted the highest demand on record today, as investors, scared, bet on deflation or couldn't think up any better use for their money.
Extra Credit / Required Reading:
- Dollar Strength on Recognition of Worldwide Crappiness
- Robinson Crusoe and the Subjectivity of Desire
- Reflections on Today, from Henry Clews, 1908.
- Art Market Rules
- The Long View... 1885-2009
- Forecast: The Battle Between Paper and Tangible Assets, A Personal View
- Tobin's Q
- Luxury Goods
- After the Gold Rush...
- The Gaussian Fallacy and other Bullshit Baby Boomer Epistomologi
- Douchebag of the Noughties
- Synopsis of the Panic of '08
- You Know its a Bubble When...
- Quantitative Easing
- Vallejo, CA