Low yields will likely impact pricing considerations for many insurers that rely on investment returns to drive returns and likely priced policies assuming a greater investment yield.
It divides the net operating income from renting the property by the expected sale price of the house, giving you an investment yield -- like a bond yield.
Therefore, a temporary surge of infrastructure investment yields an expansion of output, and vice versa that dwindling infrastructure, like in the 1970s, hamper longer-term movement in productivity.
