Writing in the Wall Street Journal, economists Jeremy Siegel and Jeremy Schwartz made the following prediction: “We believe that when investors awake from their depressed state, they will realize that they don’t have to lend the U.S. government money for 10 years at a negative real yield.”

a. By “negative real yield” did Siegel and Schwartz mean that the nominal interest rate on 10-year Treasury notes was negative?
Briefly explain.

b. In 2012, why were investors willing to accept a negative real yield on 10-year Treasury notes?