In a speech nearly two years ago, I asked: “If [QE2] doesn’t work, what
do we do then? Print even more money? What’s the end game here? Where
will all this money printing on an unprecedented scale take us? Do we
have any guarantees that QE2 won’t be followed by QE3, 4, and 5, until
eventually – inevitably – no one will want to buy our debt anymore? What
happens if the Fed becomes not just the buyer of last resort, but the
buyer of only resort?”
As predicted, QE3 is upon us. Is it any
wonder that the dollar is down against major currencies? This temporary,
artificial economic “stimulus” bought at the expense of high inflation
is no substitute for a stable currency and genuine long-term economic
recovery. This is what happens when big government centralized planners
try to “plan” our economy. President Obama is no doubt happy, though,
that this latest sugar fix comes 53 days before the election.
- Sarah Palin