The Mad Science
of the U.S. National Debt
Rolling Stone's Matt Taibbi* provides insight into the U.S. debt-ceiling debate, how it relates to the radical experiment being conducted by the Federal Reserve .. comparing the U.S. national debt to a family budget does not make sense - that's like comparing "two kindergartners tossing a paper airplane to the Apollo 11 mission" .. on the Federal Reserve's experiment: "What has the global financial community in a fever is widespread uncertainty over when QE will end. The central bank programs are a high-wire act of extraordinary difficulty. If you yank on the leash and stop them too abruptly or too soon, the economy might crater or plunge into a new recession or depression. If you keep the giant money hose on full blast for too long, you risk overheating the economy and creating financial bubbles. And everywhere in between, there's the twin risk that the policies won't work and the banks and businesses will become a little bit too used to central bank largesse. What if Bernanke miscalculated his ability to stimulate lending and job creation, and all of this intervention not only doesn't create jobs but just reheats a financial sector that exploded under the weight of its own stupidity and greed just a few years ago?" .. Taibbi concludes by observing how politics in America has evolved into an ongoing hostage crisis between the political parties .. "Meanwhile, global monetary policy is drifting in the direction of semipermanent stimulus, and no one has any idea how it all ends. It's two different runaway-freight-train action movies going on at the same time. God help us."
LINK HERE to the essay 
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