the cult of equities

people, of course, go from one extreme to another. after shunning the stock market for many years , by the 1960s they began to think that you could not lose in it . as a result, they did up common-stock prices to point where their dividend yields are scarcely 3 per cent , whereas good bonds yield 7 or more per cent. why this inverted structure where bonds are allegedly safer yet yield more ?
Obviously,investors-most of whom are in fairly high tax brackets-are shooting for lightly taxed capital gains rather than dividends .
Experience with the markets abroad shows that all good things come to an end. once American share prices have been bid high enough , there is plenty of room for steep declines, and investing in common stock has ceased to be the one-way street it seemed to be from 1942 to 1970.