I don’t know why the fed thinks this is something that will work, but I suppose they have to do something to make it seem like they know what is going on. I like the quote, “…[we will] employ all tools available to promote economic recovery and to preserve price stability…” So there you have it. The Federal Reserve still cares about inflation in the midst of a complete credit freeze. Then the dollar dropped 3 percent. This is not a situation that can be solved with the smoke and mirror tools of the Federal Reserve. At least we are better of than the Europeans.
Also, this guy is a genius. Just make him energy secretary and get it over with.
