Wednesday, December 30, 2015

The Big Short's Michael Burry Warns "The Little Guy Will Pay" For The Next Crisis


...It seems the world is headed toward negative real interest rates on a global scale. This is toxic. Interest rates are used to price risk, and so in the current environment, the risk-pricing mechanism is broken. That is not healthy for an economy. We are building up terrific stresses in the system, and any fault lines there will certainly harm the outlook.