Thursday, September 13, 2012

Quantitative Easing Forever

With the Federal Reserve pledging to buy $40 billion in mortgage-backed securities per month for the indefinite future and a pledge to keep short-term interest rates near zero into 2015 (source), the film may as well be called:

"Fed Chairman Ben Bernanke evidently thinks that driving up the stock market will quicken the animal spirits of the affluent 20 percent who own 93 percent of equities, and this “wealth effect” will spur economic activity, eventually benefiting others. So, the interest rates Barack Obama favors are a form of the trickle-down economics he execrates." - George F. Will (source)

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