The Importance of Inflation in the 1970s

This is the exact situation that I've been warning about for years because what these central bankers missed was stagflation. They don't understand that when there's inflation, that is going to put downward pressure on treasuries. And so we didn't expect this. We didn't expect a situation where the economy got weak and assets that you would expect to increase in value went down in value. See, this is an outcome that we didn't really model because we just, you know, didn't expect it. It came out of left field.