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FED’s QEII Is No Shot In The Arm For The Real Economy This Time

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The FED’s current unease about QEII can prove prophetic. Not that this unease is going to impact the monetary policy in any significant way.

QEII (quantitative easing, part two) is no shot in the arm for the real economy. The reason why quantitative easing will not have the desired effect this time around is that the underlaying problem has evolved. The challenge we are facing now is not a lack of liquidity. It is a lack of credit. More cash will only fuel new bubbles.


George Soros at Columbia University about Deflationary Perils of Austerity

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George Soros gave this speech at Columbia University on October 5. 2010 warning about the deflationary perils of austerity and speculating about what governments should be doing instead. See if you can tell where the markets are headed (and buckle up for safety!)

As you know I have written several books which serve to explain the crash of 2008. Two years have elapsed since then – it is time to bring the story up to date. That is what I propose to do today.

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