One of the more remarkable claims since the financial crisis of 2008 is that the natural rate of interest is now below zero, and it has been below zero since the financial crisis. If you look at the very best estimates of the natural rate of interest over the last 50 years, one broad fact […]

## Why did the Natural Rate of Interest Plummet?

One of the more remarkable claims since the financial crisis of 2008 is that the natural rate of interest is now below zero, and it has been below zero since the financial crisis. If you look at the very best estimates of the natural rate of interest over the last 50 years, one broad fact […]

## Cullen’s New Book

He’s been a bit modest about it, but Cullen has written a book which looks dang interesting: Pragmatic Capitalism: What Every Investor Needs to Know About Money and Finance I don’t have my copy yet, so I can’t do a full review. Cullen has run an investment advisory for the last several years, and this […]

## China Asks: How much will it cost us to make Solar Cheaper than Coal?

Do you remember when Dr. Evil was going to hold the world ransom for $1,000,000? This is what we are facing today in Solar – the Dr. Evil ultimatum. The cost to get Solar to coal parity is going to be laughably tiny. The cost sounds like a lot of money to old people, or […]

## A tale of 2 r’s

The Piketty data problems are the huge talk right now, but I want to point out something entirely different. Brad Delong points out there are 4 different rates and Piketty does not do a great job differentiating them: The four different r’s are: The real interest rate at which metropolitan governments can borrow: call this […]

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