I don't understand these claims from an interest rate perspective either. 2022 was a huge unwind of the interest rate bubble, and a mass extinction of ZIRP-driven business models (including the state of banking itself to an extent, which necessitated a Fed intervention). And remember, the 2022 duration bubble unwind came immediately after the DotCom Bubble 2.0, with ten billion dollar treadmill/space tourism/vaporware EV/dog walking companies.

Yet it doesn't show on the chart of misallocated capital. There was a huge amount of misallocated capital destroyed then:

https://images.squarespace-cdn.com/content/v1/5f3bf522f05eaf...

Maybe it would make more sense with the full context of the original report.