The Eurozone move into negative interest rates means that yields on some government (and corporate) bonds have become negative. Why would anyone want to hold such bonds? When will yields recover? The FT video below surveys the views of fund managers on these important questions.
My colleague and former PhD student Gareth Campbell has created a website about the British Railway Mania - click here . This episode has been described by the Economist as probably the greatest bubble in human history. Gareth's website provides background on the Mania and posits some explanations for the 'bubble'. In his explanation of why the bubble happened, Gareth places a lot of emphasis on investor myopia regarding future dividends and uncalled capital. His study of investors during the episode does not support the view that this episode was fuelled by naive and irrational investors.