Extensive academic studies of a century of "risk equity stocks" versus the "guaranteed safe treasuries, bonds and bank deposits" have systemically underreported a six percentage point (6%) average difference between these two sets of economic data. It should be more than 6%.

Furthermore, this 6% Equity Premium of a diversified set of U.S. equities over U.S. treasuries over 100+ years is inexplicable, until now. Everyone knows how Debt is produced from credit. But, with the rare exception of a few academics, most do not know how Equity is produced to demystify this puzzle of the 6% Equity Premium. Solving this “Equity Premium Puzzle” requires a courageous mastery of exactly how Equity is produced by a straightforward division operation where the denominator is a fraction. For example, dividing $1 by 0.01 produces $100.

There is a special power relationship between Equity Yields and Debt Yields.  This relationship rests on the scientific fundamentals of the "First Law of the Conservation of Energy" (Julius Robert von Mayer, 1814 — 1878) and the "mass energy formulas"

M=E÷C^2 and E=MC^2 (Albert Einstein,1879 — 1955) which describe this “One Energy”.  The “Equity Premium Puzzle” is now solvable with science and the mastery of Equity.

Economic data from 2,000 global publicly-listed companies in India, the United States of America, and Ghana was used in this investigator’s study of the "Equity Premium Puzzle".  It is now known that publicly-listed companies in India are undervalued by over $39 Trillion. Furthermore, the world is undervalued by over $400 Trillion.

Katching’s Equity>Debt Law is applied in Tables and Graphs to illustrate the vast power of Equity over Debt.  This investigator argues for a deployment of Equity in addressing tough problems such as poverty and wealth inequality.  Sadly, such problems persist in society after decades of tackling them with Debt.  Deploying Equity requires an honest reevaluation of our understanding of Capitalism.  The consumer’s participation in a “pure, ubiquitous Capitalism” will instantly produce Equity premiums much much higher than the observed 6% Equity Premium.