Sanity Zone 2-4-2011 The QE2

No, the QE2 is not a boat. It stands for Quantitative Easing 2, which is fancy econo-speak for “printing money and dumping it into the currency markets.” One might wonder what all the fuss is about, as the Federal Reserve increases the money supply regularly. Well, all things equal, I can understand how this might be confusing, but this can be simple to understand with a few graphs.

The Situation:
The US economy is currently...