Quantitative easing is the Federal Reserves way of keeping the economy moving and trying to prevent it from collapsing. I believe this is the last trick the Government of The United States of America has up it's sleeve to keep this economy creeping along. I think it is to no avail! The Dollar is destined to collapse and when it does it will be fast and very painful to those who are not expecting it.
Quantitative easing is done so that the government can get the bankers to start lending money to business instead of the banks buying treasuries which is a safe bet for them since the economy is not doing so well. The Federal Reserve buys the banks toxic assets and in return the banker is to use that extra money to lend to business which in turn will jump start the economy. This is what the Fed hopes will happen but nothing is guaranteed.
Quantitative easing is basically the government monetizing it's own debt which are the toxic assets it buys from the banks. If this fails it could make things much worse and I don't think it's going to work America is too far in the hole financially. I predict a dollar collapse due to rampant inflation and then a world currency will follow because once the dollar collapses the worlds economy which is all tied together will come crashing down.
I hope this doesn't happen but it sure looks that way. Start preparing now to be self sustainable.
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