Printing Money - QE 3, 4, or 5?

[monkeybird]

The Federal Reserve said it will expand its holdings of long-term securities with open-ended purchases of $40 billion of mortgage debt a month in a third round of quantitative easing as it seeks to boost growth and reduce unemployment.

http://www.bloomberg.com/news/2012-09-13/fed-plans-to-buy-40-billion-in-mortgage-securities-each-month.html

I guess I'm somewhat horrified about the actions being taken by the Federal Reserve. We are now printing money at the rate of 40 billion dollars a month.

Printing money with nothing behind it? Reminds my of the excellent work by ADAM FERGUSSON "WHEN MONEY DIES" This publication describes money printing in Germany just before the start of WWI. I downloaded this from the internet a few years ago. Don't have a link. Anyway the comparison will curl your toes.

We also find out that the U.S. credit rating is now reduced to AA-. We're in real trouble and not a single one of our leaders seem worried about it.

[WILL]

http://www.bloomberg.com/news/2012-0...ach-month.html

I guess I'm somewhat horrified about the actions being taken by the Federal Reserve. We are now printing money at the rate of 40 billion dollars a month.

Printing money with nothing behind it? Reminds my of the excellent work by ADAM FERGUSSON "WHEN MONEY DIES" This publication describes money printing in Germany just before the start of WWI. I downloaded this from the internet a few years ago. Don't have a link. Anyway the comparison will curl your toes.

We also find out that the U.S. credit rating is now reduced to AA-. We're in real trouble and not a single one of our leaders seem worried about it.

Yup, I guess the powers that be figure since were 16 trillion dollars in debt, we'll just print 16 trillion dollars and solve the problem. I'm no economist, but I think were screwing up in a big way.