December 21, 2012 by History in a Hurry
Ben Bernanke, the Federal Reserve’s grand pooh-bah, announced in September that the Fed will do “unlimited quantitative easing.” At first blush, that may sound kind of kinky. But it just means that the Fed is buying $40 billion a month of mortgage-backed securities from banks indefinitely, keeping interest rates at 0 percent until 2015 so you can’t earn any money on your savings, and probably creating yet another housing bubble.
The comedy team Clarke and Dawe has the best explanation of the central bankers’ policy of quantitative easing:
Here’s a related 4-minute video: