Let The Perma-ZIRP Chorus Begin; Today, Larry Summers

``Much more plausible is the view that, for reasons rooted in technological and demographic change and reinforced by greater regulation of the financial sector, the global economy has difficulty generating demand for all that can be produced. This is the "secular stagnation" diagnosis, or the very similar idea that Ben Bernanke, former Fed chairman, has urged of a "savings glut". Satisfactory growth, if it can be achieved, requires very low interest rates that historically we have only seen during economic crises. This is why long term bond markets are telling us that real interest rates are expected to be close to zero in the industrialised world over the next decade.''