Goldman Sachs thinks they've spotted an economic anomaly - and they're warning it may force the firm to redefine the nature of capitalism itself.
In a research note, produced by a team of analysts and released earlier this year to clients, the firm highlights the fact that profit margins in the United States and elsewhere are historically high and that they may remain that way for a long time - especially when it comes to companies engaged in mergers, acquisitions, and stock buybacks.
In what may be the ultimate case of the pot calling the kettle black, Goldman says that's not how things are supposed to work.
I can't say I disagree.
Since 2007 we've talked about how today's markets are a completely artificial construct made possible by the Fed's incessant meddling, regulators who were asleep at the switch and who still aren't fully awake, and a completely out-of-control Wall Street machine.
You simply cannot engineer your way out of a crisis caused by too much debt by adding more debt.
Because it messes with the very relationships Goldman has evidently just latched on to.
Something has to give...
...just make sure it's not your money.