Article in today’s New York Times by Edmund L. Andrews.

”They’re doing the same stupid things they did in the 1970s,” said Allan H. Meltzer, a professor of economics at Carnegie Mellon University and the leading historian of Fed policy. ”They were always saying that we’re not going to let inflation get out of hand, that we’re going to tackle it once the economy starts growing, but they never did it.”

Artificially low rates help nobody. They helped create the internet stock market bubble of the late 1990’s, and created the housing bubble after that. Now they disrupt savings, weaken the dollar, all for what? To keep real estate prices from falling back to normal?

Good link to testimony by Professor Roubini yesterday: