tag:blogger.com,1999:blog-7475395270631949054.post1959946813111225445..comments2024-02-15T21:31:06.486-08:00Comments on Capitalism and Freedom: Bond Yields And The Equity Risk PremiumChristopher T. Mahoneyhttp://www.blogger.com/profile/07096275297545797428noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-7475395270631949054.post-31133128361772696942014-04-14T16:59:43.469-07:002014-04-14T16:59:43.469-07:00Quite right. Unless bond yield rise a lot (why sho...Quite right. Unless bond yield rise a lot (why should they?) the p/e ratio is clearly quite low. <br />It amazes me that economists and journalists keep writing about price-earnings multiples as though they must revert to some long-term norm and are unrelated to interest rates.<br /> http://www.cato.org/blog/reynolds-model-stock-pricesAlan Reynoldshttp://www.cato.org/people/alan-reynoldsnoreply@blogger.com