Monetary Policy

The one moniker that may just stick. And seeing how the Chairman is having illicit (and excess liquidity lubricated) liaisons with the entire US middle class, yet is sufficiently covert about it that TMZ will never figure it out, it is about time that Senators do the right thing and prevent Bernanke's reappointment, as well as make the Federal Reserve fully transparent, even as they set it on a path to its ultimate dissolution. With fiat monetary systems and the entire Keynesian experiment proven to be one uncontrollable fiasco, leading to exponentially increasing bubbles and bursts, the last thing Central Bank countries can afford now is delay.

It seems these days everyone is happy to blame Greenspan for creating the biggest housing/credit bubble in American history, yet few have the same problem when it comes to voicing their support of Ben Bernanke, who is repeating exactly the same monetary steps (mistakes) as performed by his predecessor. Proponents will say that this time the justification was to prevent a full financial systemic collapse, and the trillions of excess liquidity (an approach that even Greenspan did not embark on full bore) that drowned the capital markets were just what the doctor ordered. Whether that is true or not will be debated by historians who analyze the 2009 as the year when China, the US and the Eurozone let loose the most unprecedented monetary loosening in the history of the non-gold standard world.

Yet is today really that different?