About this: "And that’s clearly what the central banks wanted, what the Fed wanted. They wanted every investor to go way out on the risk branch and pension fun

About this: "And that’s clearly what the central banks wanted, what the Fed wanted. They wanted every investor to go way out on the risk branch and pension funds have done that and now the price, as your said, is right here in front of us" When there is an excess of savings over investment, the price of money decreases. Many things can lead to turmoil in the world: war, depression, resource shortages, revolutions, demographics. Given a scenario where people and institutions are saving up money, and turmoil limits the investment opportunities, obviously, the interest rate has to go down. If there is too much supply, and not enough demand, for anything, you should expect the price to go down. And that is what happened. The price of money declined, because there was an excess of savings, and not many good investment opportunities. When we say "risk increased" we also mean that the payoff from an investment shifted out to the future. In good times, you might think you will get your money back after 5 years, whereas now you (the generic investor) are aware you'll need to wait 20 years. And long-term thinking is an appropriate way to deal with a major recession. The organization that is best positioned to think long-term is the government, which is exactly why the government should be the entity that uses the surplus of savings during major recessions. A major recession is a good chance for the government to engage in long term bets, such as rebuilding the infrastructure.