QE 2 you mean, what about QE1 which was about triple the size.
QE1 was fully supported by the Obama administration. Basically it moved $1.5 trillion in savings from the middle class and retirees to the bankers, investment houses, and hedge funds.
You should also realize that todays conditions are a direct result of the monetary and banking policies from the mid to late 90s's.
Yes, the dismantling of regulations which kept banks from speculating with deposits began under Reagen, accelerated under Clinton/Greenspan and Bush/Greenspan (with the help of Barney and his Freddie/Fannie handouts to the banks), and is now reaching giddy proportions under Bernanke/Obama who are printing trillions of dollars and the expense of the 90% of the households who save money. The winners are the speculators (banks, investment houses, brokerage firms, hedge funds) who get to play with this money for free - and they are all playing overseas where they can get a much better return on their investments.
The housing bubble was created not under the Obama admin or even Bernanke, but Greenspan, Bush and to a lesser extent Bush.
Yes, let's give credit where credit is due. All Bernanke has done is wiped out trillions of dollars in savings by monetizing the Federal debt and has created giant bubbles in bonds, currencies, gold, silver, and now the stock market. The result will be grand catastrophe has apparently Bernanke has not learned that" 1) you cannot solve a debt problem by creating giant debts (something that homeowners loved to do during the last housing bubble, and 2) you cannot create wealth by printing money. This is so ludicrous it defies imagination. Only a clueless half-wit like Bernanke can believe and utter such things in public.
The current admin was left with the biggest mess since the Great Depression, and had two choices, let things collapse and see massive civil unrest (Greek or french riots times 10 especially as americans tend to have more weapons) or try to limit the downside, which of course would weaken future growth.
What they should have done was make the speculators take a haircut. Instead they made Goldman, Morgan-Stanley, JP Morgan totally whole. This left these wolves enough money to give themselves billions upon billions of dollars in bonuses. How nice that they should get a Bernanke bequeath bonus for all of their good work. And this entirely endorsed and accomplished under the Obama administration. Remember, Obama got a ton of money from Goldman and friends during the campaign.
If a person did not know that QE was going to occur at some point in the US as far back as 2006-2007, then they were not paying attention to the economy, or to Bernanke's nickname (helicopter ben)
I agree. Taleb and many others warned about the coming catastrophe. All that Obama did was reward the perpetrators for their good deeds. They did not lose one red cent.
No politician in the US with the probable exception of Ron Paul would have taken the hard route, the last fed chairman who would have taken the hard route was Volcker. Greenspan was a horrible fed chair a serial bubble maker, and a man of multiple bailouts
Totally agree. Obama because he has no idea what he is doing, gave the reigns of authority to Bernanke who is basically running wild, and Geithner who is doing what he needs to do to secure his future as a consultant on Wall Street just like Robert Rubin, Sec. of Treasury under Clinton and one of the brains behind the collapse of the Citibank. It all wreaks.