Brad DeLong and Paul Krugman are having a mini debate on whether Brad et al (that means the Clinton administration) had good reason to fear bond vigilantes in the 90s….

…bonds, so bondholders ended up with more cash but less collaterizable/monetizable/convertible-to-cash bonds. A wash? Discuss. (But not until you’ve read Ashwin’s whole piece [at least once].) Cross-posted at Angry Bear….

…things from this. 1) Pessimism about real GDP 2) Low expected inflation 3) Bond traders are confident that the Fed will keep the target federal funds rate at essentially zero…

…the US government declines to sell a 10 year Treasury bill at a real rate interest rate of –0.57 percent it is agreeing to pay, to the bond market a…

…drivers to purchase auto insurance, would be constitutionally permissible. Kennedy likes to wax eloquent, as he did last year in an opinion in a case called Bond v. United States,…

…take these bonds instead.” It is true that, cet. par., the market value of the bonds being offered is about 25% the supposed economic value of the current ones. So…

…own retirement. Workers who “invest” in stocks and bonds are “funding current retirees”… who live off stock and bond returns. The only difference is that with Social Security the workers…

…bonds from a privately held firm. I am so ignorant that I don’t know how many privately held firms issue bonds. Note that CCR will faithfully and creditably honor bonds…

Brad DeLong and Matthew Yglesias report that operation Twist worked, because 30 year bond yields have declined since it was announced. Brad “30y Treasury yield down 13 bps, 2y yield…

…would almost surely drive the U.S. straight back into recession. Furthermore, a failure to reach agreement on the debt limit would guarantee bond market jitters, pushing up interest rates and…