- THE MAGAZINE
“Recovery? Home values falling, unemployment stagnant, recovery? There won’t be a recovery until 2012. QE2 is doing nothing but artificially propping up the financial markets and causing inflation.”
“Hopefully banks begin making loans to households and small businesses again as a result of quantitative easing; there is no guarantee this will occur. While we remain in the Keynesian region of the supply curve, care must be taken with quantitative easing to ensure we do not move through the intermediate region too quickly, causing rapid inflation. The other concern is capital flight/asset bubbles as people may move their money into securities within other economies with higher yields.”
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