QE3 (Quantiative Easing Three)
Probably effective at the end of a month (decision made in Jackson Hole) we will be lowering interest rates for banks! Hooray! How do you lower interest rates for banks? Why it's QE3 (not part of any debt ceiling nonsense, debt ceilings wouldn't have even effected this Fed power.) The rich investment banks will be able to loan more money to people who have none, like they did before when they got vast infusions of money... *cough* And will that be tied to any limits on bank executives compensation? *Cough-hellno-cough*
This article is interesting in a number of ways. The idea of keying QE3 to inflation ignores the fact that inflation is now here. But... I"ll guess they are smart enough to make the rules so that they can give money to the banks. :)
Do we need QE3? Here the answer is unfortunately a resounding yes. Limits are now inevitable on any government programs to help us out of this latest double dip. Perhaps long term the dip is not there but those CNBC folks I listen in on sounded a little worried after today's amazing and totally unpredicted post-debt-ceiling-agreement drop in stocks accompanied by a surge in gold prices. Eight straight days of dropping stocks have not been seen since the deep pit, or Jackson Hole, possibly, of the our recent depression.
Anyway, for those Americans who thought the value of the dollar was what we were protecting by demanding the cuts in government spending in the form of cutting stimulus programs that might have actually helped the common man... the banks present us with our reward: more printing of money distributed with the timeless theory of "trickle down."
Oh, if you see any reductions in your own interest rates on your existing mortgage or credit cards... please, please, let me know.