> We have been engaged in collective madness over investment/savings returns. I remember conversations (probably 2007ish) where I was trying to point out to a b

> We have been engaged in collective madness over investment/savings returns. I remember conversations (probably 2007ish) where I was trying to point out to a banker that the nominal return cannot exceed inflation in the long run. How is it that pension funds can be predicated on a 6-8% return. Well it only works if we have a 1) a crash every so often wiping out everyones gains or 2) hyper inflation (or 3 some other people just giving money away). We live in a world with increasing productivity which is the X factor you are looking for. For an amazing amount of time we have been able to make more stuff with less work which generates huge returns. That's not to say it is infinite, but it does allow pensions to get 6-8% returns without a crash or hyperinflation. If you haven't already you should read Thomas Piketty' Capital in the Twenty-First Century.