Dr. Shostak schools us on the harm done by QE...
As the monetary pumping strengthens, the pace of the diversion follows suit. We label various non-productive activities that emerge on the back of the expanding monetary balloon as bubble activities – they were formed by the monetary bubble. Also note that these activities cannot exist without the expansion of money supply that diverts to them real wealth from wealth generating activities.
Just so. The entire essay is here... plus a comment by yours truly.
Please feel free to share this post with three of your friends.
As the monetary pumping strengthens, the pace of the diversion follows suit. We label various non-productive activities that emerge on the back of the expanding monetary balloon as bubble activities – they were formed by the monetary bubble. Also note that these activities cannot exist without the expansion of money supply that diverts to them real wealth from wealth generating activities.
Just so. The entire essay is here... plus a comment by yours truly.
Please feel free to share this post with three of your friends.
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