Banks and wealthy investors take free money and hoard it. Much ends up offshore in tax havens. It's used for speculation to make more of it. Fortunes have been made at the expense of the real economy and welfare of ordinary people.
Lending to small and mid-sized businesses stagnates or declines. Since 2008, multiple QE rounds, other handout policies, and zero interest rate policy (ZIRP) for banks exceeded $10 trillion in benefits for crooks instead of prosecuting and imprisoning them for previous grand theft.
Coordinated central bank money madness promises worse to come. At the same time, troubled economies are cratering. Weak ones grow weaker, and stronger ones now head south.
America's weak growth is slowing. Europe is in recession. It's deepening. China's heading for a hard landing. So is Japan. India, Brazil, and other strong economies are softening. As Europe and America go, so goes the world. Contagion can't be contained.
Unilateral or coordinated QEs "do little to nothing to stop slowing" economies worldwide. They're heading for "synchronized global recession."
All the money and liquidity in the world can't create jobs, end the housing slump, or stimulate growth by handing it to bankers and other financial interests. All it does is enrich them more at the expense of ordinary people and real economies.
It's not rocket science. Central bankers know it. They're not stupid. They know what's needed to end economic slumps, induce recovery, and reinvigorate growth. Knowing the right thing and doing it are world's apart.
They're beholden to big monied interests. Policies adopted serve them. The world is awash in capital. It's used for the wrong purposes.
America isn't broke. Neither is Europe or Japan. Instead of using their resources responsibly, it going to their top 1%. At the same time, greater force-fed austerity is coming. America named it. It's called the "fiscal cliff."
It's cover for making rich elites richer and poorer ones deeper in the hole. Coordinated central bank money madness is part of the dirty scheme.
As a result, free money goes to banks and other financial interests. Social benefits and disposable income cuts are mandated for everyone else.
Rasmus calls it "QEs for them." "Austerity for the rest of us." Economic slowdown and recession are assured. It's baked in the cake. Policy makers mandate it.
Bipartisan complicity pledged high times for rich folks. Everyone else is on their own out of luck. Elections change nothing. They haven't for decades. They do little more than reshuffle deck chairs.
Money power rules. What it wants, it gets. It's the American way. It's no different across Europe and most other parts of the world. It's a sorrowful state. People needing help don't get it.
Hard times devastate young people. Imagine developed countries like Spain and Greece with 50% youth unemployment. Imagine policy makers doing nothing to help. Instead they're making things worse.
Half of all US households are impoverished or bordering on it. For a family of four, America's official poverty line is slightly over $23,000.