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Americans Love Borrowing Money (EP.326)

Animal Spirits Podcast

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Household Allocations: Stocks, Bonds, and Cash

This chapter analyzes historical trends in household allocations to stocks, bonds, and cash, highlighting the shift from a higher allocation to cash in the past to a higher allocation to equities today. The speaker discusses the impact of investment tools like 401Ks and IRAs, as well as the increase in stock market participation. They also examine the performance of small caps versus large caps and discuss Ray Dalio's opinion on bonds and the behavior of money market funds.

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