This week in our Masters in Business interview, we speak with economist Gary Shilling, author of “The Age of Deleveraging: Investment Strategies for a Decade of Slow Growth and Deflation.”
Shilling has been forecasting low energy and commodities prices and lower rates for some time. He still believes the bull market in bonds isn’t over yet. In the 1960s, Shilling, who also is a contributor to Bloomberg View, helped to create the economics department at Merrill Lynch. At the time, securities firms that focused on equities felt little need for staff economists, who mostly worked at the bond houses.
In addition to economic forecasting, Shilling is an avid beekeeper. He discusses how his son’s hobby became his own. He names each years’ honey crop, jarring a ton or two of the sweet bee product (which we learn never goes bad). Clients offer suggestions as to what each year’s honey label titles should be, including a bailout edition of honey called “Bernanke’s money cant buy our honey.” Each year, he sends out more than a 2,000 or so jars to clients, friends and family.
And a few more honey label titles from previous years: “Our Honey’s Sublime, Not Subprime” (2007-08); “Our Healthy Bees Need No Medical Plan” (2009-10); and “While Federal Deficits Mount, Our Bees; Honey Surplus Grows” (2011-12).