Thursday, June 27, 2013
The above chart comes from Merrill Lynch via Alphaville. Asset returns have stopped correlating to the labor force participation rate. Maybe it will go back to correlating but this has been six years in the making.
In trying to understand the fallout from the financial crisis (the crisis might be over but we are still navigating through the fallout) I think this nugget goes in the this time is different column. To be clear, there is much that is not different but some things are.
Posted by Roger Nusbaum at 10:08 AM