It seems logical to increase the money supply during a liquidity crisis, as happened in 2009. But to persist in money creation when the crisis has passed and in the teeth of rampant inflationary signals seems sinister to me, akin to what Keynes termed the Euthanasia of the "Rentiers" - meaning (apparently wicked) people with savings.

This is manifestly unjust and can only be explained as a form of debt default, albeit masquerading as economic stimulus. If inflation is rife rates should be raised, it's that simple. I am writing this from England where the disjunction between current inflation and the B of E discount rate is more manifest than in the U.S. - and clearly a species of theft.

I was one of the first to argue for Q.E. 1, as early as 2008. I was something of a lone voice. But now that deflation has been averted rates should be hiked, irrespective of the national debt. If deflation returns then at that time they can lower the rates.


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