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The recession reached a dangerous level in the US and world economies. This was especially true in the 2007 to 2009 time period. One important result of this problem in terms of investments was a radical turn to Treasur Bills & Bonds because there was a lack of liquidity in the markets. This discuraged buying corporate bonds and stocks and investors drifted into the Treasury markets as the safest place to put money. This then increased liquidity even further. Corporate bond sales plummeted.

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