QE3? Several Top Federal Reserve Officials Seem To Think That More Quantitative Easing Is Necessary
The end of QE2 is still several months away and yet quite a few top Federal Reserve officials are already hinting that more quantitative easing may be necessary. Apparently the U.S. economy is not moving forward as rapidly as they would like. So it looks like “QE3” could be on the way. But did anyone out there actually believe that quantitative easing would come to a complete stop in June? Whether they call it “QE3” or something else entirely, the reality of the matter is that we have now come to a time when the Federal Reserve is going to be continually purchasing a significant percentage of all new U.S. government debt. This is essentially a gigantic Ponzi scheme, but sadly there is just not enough money in the rest of the world to be able to continue to feed the U.S. government’s voracious appetite for debt. Right now Ben Bernanke and his cohorts are trying to break the news to us gently, but anyone with half a brain can see what is happening. The only way for the game to keep going is for the Federal Reserve to print lots more money, and that is going to be incredibly bad for the U.S. economy in the long run.
The other day James Bullard, President of the Federal Reserve Bank of St. Louis, made national headlines when he declared that Fed officials should “never say never” when it comes to QE3 and more quantitative easing. But the truth is that other Fed officials have been dropping public hints about the “need” for QE3 for several weeks now. Just consider the following quotes from top Federal Reserve officials….
Federal Reserve Chairman Ben Bernanke in response to a question about the potential for QE3 at the National Press Club….