commentary by Roger Erickson
Sounds like an excellent reason to agree to political and fiscal union! :(
You too, can participate in The Greek Disaster, now spreading to a country near you!
Even as the ECB shows it can actually be a lender of last resort, it's doing so only after too many horses have already left via the open barn door.
No wonder Bernanke is generating a preemptive QE3 mirage sooner. He wants to be seen doing all the usual nothings faster than anyone else.
Why doesn't Bernanke pull a Marriner Eccles, walk over to Congress & the White House, and verbally slap a few people in private? His message is simple. Without fiscal initiative, all that can be saved are preferred seats at the public funeral.
His inaction makes the cynical wonder who he really works for. Yet even that wouldn't matter. The message would be the same, no matter who his employer is. The present outcome gives one the feeling that neither employer nor employee know what they're doing. And the customers are always the last to know.