Quantitative easing is keeping the US economy from crashing. It also is preventing our economy from growing by artificially inflating the stock market. Investors have become dependent on this artificial inflation and don’t want it to stop. Does this sound familiar? YES I SAID IT, the US economy is hooked on drugs! The intended high is never quite achieved and each new low is farther and farther down a hole.
QE is the only crutch holding up the us economy, yet according to aÂ Reuters Poll, almost 75 percent of Americans don’t even understand what it is.
WHAT IS quantitative easing you say?
It’s actually very simple….
- The government prints money out of thin air.
- Then it takes that printed money that doesn’t really exist, and loans it to itself by purchasing its own government bonds.
- Then, when they run out, they print more money that they don’t have, in order to borrow the money that doesn’t really exist.
Simple, right……? With the federal government’s track record on ethical behavior and unparalleled efficiency, what could possibly go wrong? ~MH