The Fed, QE, Forecasts

Mish usually tells it like it is, and when it comes to the Fed and QE, he nailed it --

Mish's Global Economic Trend Analysis: Fed Minutes Show Majority Believe "Marginal Efficacy of QE Likely Declining"; Economy Turned the Corner?: "A few participants worried about the "incentive for excessive risk-taking in the financial sector" I suggest it's far too late for that worry. The incentive for excessive risk-taking has been operative for years. It is reflected in economic bubbles of all sorts. One only has to open one's eyes to see them. Fed forecasts are exceptionally wrong at economic turns, as past minutes from 2000 and 2007 show. And here we are again, at yet another 7-year interval, with the Fed unable or unwilling to see the bubbles they created, just as they failed to see the dotcom bubble in 2000 and the housing bubble in 2007."

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