QE3 – Is The Federal Reserve Letting Americans Know The Depth Of The Economic Problems?

The outlined plan of QE3 states that the Fed will purchase at least $40 billion worth of mortgage-backed-securities each month until unemployment numbers are satisfactory.


 

The current strategy of the Fed appears to be based on a hope that at some point, the U.S. economy will strengthen to an acceptable level, at which time the excessive money printing can end, and things can return to normal, but this ‘kick the can down the road’ strategy will likely not end well.

 

Another danger with current actions by the Fed is that it has allowed Washington to become complacent at fixing their fiscal disaster.  The perception is that when there are problems, the Feds will be there to bail them out, rather than having policy makers implement new ideas that might help solve long-term underlying fiscal issues.............. http://goo.gl/OKqIN