QE3 and Coming Economic Crash
By: EWI
Market Oracle
Oct 20, 2012
Why monetarist theory is flawed
Federal Reserve Chairman Ben Bernanke really means it this time.
He will rescue the economy.
Ben S. Bernanke for the first time pledged that the Federal Reserve will buy bonds until the economy gets closer to his goals … . The central bank yesterday announced its third round of large-scale asset purchases since 2008, with the difference that it didn’t set any limit on the ultimate amount it would buy or the duration of the program. … Bernanke is “going to fight and fight until he sees a real improvement in the economy,” said a co-head of global economics research at [a major bank].” He believes quantitative easing can help the economy, so he’ll just keep at it until there’s a real turn in the economy.”
Bloomberg, Sept. 14
But we’ve all heard the definition of insanity: doing the same thing over and over and expecting a different result.
Why should we think QE-3 will work when the previous two failed? (Don’t think they failed? Then ask yourself why we need a third one.)
The Rest…HERE
