“Productivity, so far, has really enabled the economy to grow at a more rapid pace than normal without generating any kind of substantial increase in wage pressures.”
“We all anticipated it would come to an end at some point, but we weren't sure if it would moderate or crash. It now looks like it crashed, but that more than likely means we'll see more moderate and realistic growth as people re-apply more traditional methods of financing. That should make the case for moderate, non-inflationary growth in 2000.”
“What the Treasury has done has caused a significant, permanent shift in the way the curve is structured. We'd seen a lot of subtle changes beforehand but it was the announcement this week that really triggered the earthquake.”
“We're going to be getting back to normal, with a lot of the panicky stuff dissipating. We're going to begin looking at the data again and what it means in terms of the Fed.”
“Productivity still remains really solid, and one of the hallmarks of this whole expansion. If we can hang on to that I think the perception of where we're going in the market could change dramatically.”
