"In short, the Fed cannot do anything fast, let alone making monetary policy changes at the first sign of bubbly market conditions like we have today as exemplified currently with runaway food and energy prices.... This has always been one of the drawbacks to the U.S. monetary system--the Fed over compensates in markets through excessively lopsided market intervention, which inevitably just creates another unintended consequence down the line.
"We are just now working through some of the vestiges of the last housing bubble created by excessively loose monetary policy, and lo and behold, we are creating yet another inflation bubble in food and energy with a new round of excessively loose monetary policy.
"What is that definition of insanity, doing the same thing over and over again, and expecting different results? And here we are—trapped in this seemingly never ending cycle of bubble creation....will we ever learn?"