Corporate Borrowing and the Fed's Decision to Reverse It

The model for what we're seeing today by the Fed is simply an extension of the syndrome that we had been seeing up till the crisis. Corporations were borrowing on the biggest scale ever by far, nothing like it remotely ever happened in the last 10 years. That money was used precisely for buybacks, for dividends, for executive pay, not for investment, not for employment. We had that syndrome and because we had that syndrome to conclude the point, where does corporate borrowing come back in?