Here is the abstract from a 2004 paper that I missed but am reading now. Emphasis, of course, mine
A so-called “asset market meltdown hypothesis” predicts that baby boomers’ large savings will drive asset market booms that will eventually collapse because of the boomers’ large retirement dissavings. As good news to baby boomers, our analysis shows that this meltdown hypothesis is fundamentally flawed; and baby-boom-driven asset market booms may not necessarily collapse. However, bad news is that, in the case where meltdowns are about to happen, forward-looking baby boomers’ attempts to escape them will be futile and may lead the economy into a “liquidity trap”.
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Tuesday ~ February 22nd, 2011 at 7:29 pm
Tweets that mention More on the Asset Market Meltdown « Modeled Behavior -- Topsy.com
[...] This post was mentioned on Twitter by mattyglesias, dp and DebbieRumpza, Joseph J. Steinberg. Joseph J. Steinberg said: RT @mattyglesias: The bad news on this one is really bad: http://j.mp/dUQrf6 [...]
Tuesday ~ February 22nd, 2011 at 8:00 pm
roland
I think this is a nice account of Japan in the 90s–they got there first.
Wednesday ~ February 23rd, 2011 at 8:59 am
Format of a Business Plan Major Sections to Convince Funders - Quantum Business Dynamics
[...] industry, customer, and competitive analysis sections look at these key elements of the market to show how the business in question fits in. This research and analysis sets the stage for the [...]
Wednesday ~ February 23rd, 2011 at 12:20 pm
anon
To be more specific, Junning Cai does not find a liquidity trap per se: they find that the equilibrium real return on risk-free bonds is negative. However, negative real rates of return are quite feasible with increased monetary inflation (or demurrage on currency).