NP - Toryism (Austerity) Isn't Working.

[Paul Mackin]

On 4/28/2012 3:06 PM, alice wellintown wrote:
> Population, over, under, younger, older, ageing, living longer,
> migrating, demographics, an important and difficult thing to take into
> a account when measuring, analyzing, managing risks.  Population in
> the US should be a positive over the next few decades, another reason
> why I suspect the Lost Decade fears are exaggerated. We are not Japan
> is so many ways and our population differences, and the bahavoir of
> populations, on terms of things like saving and investing, housing
> ...are quite different. The Fed's Twist is keeping Mtg Rates low and
> stong individual balance sheets will get money and the tide will turn
> in the housing market, returning to a normal market, one that doesn't
> bubble up but keeps pace with inflation. The yield curve will shift,
> as lenders, who take the principal risk, must be rewarded for lending
> monies out for building and housing in 30 year or more loans. The Fed,
> once confidence is restored, a confidence that was shaken but which
> did not collapse because, as Ben noted, the US had built quite a lot
> of credibility by keeping rates low and prices stable and so on, so it
> must continue to do so, and, at the same time, get the lenders lending
> and get the yc shifting to reward risk on the longer end. This is not
> easy and it is painful, but it is not Japan. We are not Japan. We
> don't have to deal with and we won't deal with 15-odd years of zero
> rated w/o growth. The system is recovering, slugish, but still on its
> way. Keep the faith. Fight the good fight. This too will pass.
>

If Winter's here can Spring be far behind

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