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Anything goes is policy. The Fed said it'll "undertake additional asset purchases and employ other tools as appropriate until such improvement is achieved in the context of price stability."

Call the latter alone a giant X factor. The more money printed, the greater the inflation risk. It's already shows. At the same time, expect no more from QE 3 than earlier easing rounds. It's almost like firing a gun with blanks.

It's an added reminder of how bad things are, and suggests the Fed in panic mode. Its most radical ever policies for over four years haven't worked. Expect no change this time.

Economic growth is fundamental. Without it, expect trouble and lots of it. Monetary policy ends up pushing on a string. A multi-decade long Japanese malaise or something much worse looks likely.

Median family income declined two straight years. In 2011, it was 8.1% lower than 2007. Household net worth dropped for an unprecedented five straight years with no end in sight to its free fall. Housing remains weak and troubled. Manufacturing is dropping.

Global weakening is apparent. US July European exports fell 6.6%. China's August EU exports plunged 13% year-over-year. Japan heads for negative GDP growth. Weekly US jobless claims hit a two month high.

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Capex plans are down 3.7% next year. So are hiring plans. The latest JOLTS data (Job Openings and Labor Turnover Survey) shows weakness. The year-over-year trend is down. New hires are depressed. Most other economic numbers are soft.

Revenue and profit declines are increasing. What's happening in America and across Europe hits everywhere. Everything's coming up weeds, not roses. Poverty is high and rising. So is public anger.

At the same time, sequestered budget cuts are coming next year. It's madness when stimulus is needed.

They're automatic under the 2011 Budget Control Act (BCA). Initial ones total $1.2 trillion. Much more will follow over the next decade. Social benefits will be hit hard. They take effect on January 1.

Sequestered means mandatory across-the-board cuts. Congress and Obama agreed. Legislators have little discretion. Allegedly all programs will be affected. Don't bet on it. Defense is sacrosanct. So is corporate favoritism. Households needing help will be hurt most. It's been that way for years. Expect worse ahead.

Cuts are intended for deficit reduction. It's rising exponentially. It'll keep doing it as far as the eye can see. Claiming otherwise provides cover to slash Medicare, Medicaid, and other vital social services. 

At the same time, nothing slows America's war machine nor will corporate favorites be denied. Bipartisan complicity assures it. Pain is the name of the game for most people. 

Occupy Wall Street is right. The only solution is world revolution. Not a hint of it is in sight in America. 

Stephen Lendman lives in Chicago and can be reached at Email address removed

His new book is titled "How Wall Street Fleeces America: Privatized Banking, Government Collusion and Class War"

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I was born in 1934, am a retired, progressive small businessman concerned about all the major national and world issues, committed to speak out and write about them.

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Are people anywhere educated enough to direct chan... by Ad Du on Sunday, Sep 16, 2012 at 9:00:50 AM
Agree with almost everything you have said. Except... by K V Ramani on Sunday, Sep 16, 2012 at 9:43:45 AM