Some salient points in Michael's answers:
- The crisis could continue for another decade;
- investors will have to tread carefully and consider the risk of dealing with others;
- dividend yields could increase 2 - 4 times (suggesting that current stock prices could halve or quarter);
- after some more deleveraging during this year, it may be useful to accumulate precious metals
Also linked on AN is a story about Warren Buffett's firm insuring third parties against a long-term market drop. Berkshire Hathaway has taken $4 billion in bets; are they right? Or are they right only in the sense that nominal prices will hold, while inflation will mask the real reduction in value?