2/1/2015 An excellent article, indicating the usefulness of recent monetary policy, and its potential to succeed or fail based on the next steps – will politicians spend treasury money wisely – on useful major programs. Much of the cash that is available to be used is currently sitting in bank reserves. It needs to be put to work. The best possible use is for the government to invest in infrastructure improvements, repairs, and new facilities, much as we did in the 1940’s and 50’s. These were the final items needed to put the US economy back into a healthy condition after the Great Depression, and the huge government debts imposed upon us by WW2 spending.
Deflation is still our biggest enemy, and as the article indicates, we cannot export it while the whole world is facing the same issues. Our second biggest enemy is the absurd ideological wars being waged between progressives who see the need for such programs, and the conservative ideologues who want government to bow out and let the chips fall where they may.