The Hammer

Quantitative Easing and the Disappearance of Income

Yes the same smart guys are trying to clean up the mess they made. I am trying to figure out how they solve our problem. The US economy over the last 2 decades was built on excess leverage, lax risk taking and over consumption. These dolts want to solve our problem by stimulating more mal-investment and consumption. Industries such as banking finance real estate consumer discretionary thrived and expended in the last 2 decades. Now we have an over capacity of all these industries that needs to be removed. It will be painful but what we need is a more balanced economy. We need to invest in growing our intellectual base and mfg base. This will make our economy more competitive for the long term. But the american people will whine and look for handouts so the politicians all controlled by special interest groups will make short term policy decisions to try to solve our problems.