Friday, July 19, 2013

The Death of ZIRP


Click to enlarge.



List of premature obituaries

Samuel Taylor Coleridge: in 1816 the writer heard his death mentioned in a hotel by a man reading out a newspaper report of a coroner's inquest. He asked to see the paper, and was told that "it was very extraordinary that Coleridge the poet should have hanged himself just after the success of his play [Remorse]; but he was always a strange mad fellow". Coleridge replied: "Indeed, sir, it is a most extraordinary thing that he should have hanged himself, be the subject of an inquest, and yet that he should at this moment be speaking to you."

Source Data:
St. Louis Fed: 1-Year Treasury Constant Maturity Rate
U.S. Treasury: Daily Treasury Yield Curve Rates

7 comments:

  1. In all seriousness, if we were actually getting closer to the end of ZIRP then wouldn't we expect the yield on the 1-year treasury to rise at some point?

    I know. Crazy theory. Hey, I never claimed to be a mainstream economist.

    ReplyDelete
  2. Who Struck John,

    Of course! It all makes sense!

    ZIRP = Zombies Inhibit Real Prosperity

    Damn. Now I've got blog naming remorse. "Illusion of Prosperity" only describes the symptoms, not the actual cause, lol. Sigh.

    ReplyDelete
  3. Who Struck John,

    There can be no RIP as long as the Z exists! ;)

    ReplyDelete
  4. The central banks are certainly vigorously fighting World War Z - on the side of the zombies!

    ReplyDelete