4 ms·
Right but my point is, as soon as it happened the fed went into a panic and printed trillions of dollars and started buying junk bonds, giving the impression th
by fallingfrog 7y ago
Right but my point is, as soon as it happened the fed went into a panic and printed trillions of dollars and started buying junk bonds, giving the impression that they will do whatever it takes to make the market not drop. No matter the cost. And the market shot back up even though there are 26 million people who just lost their jobs. But you know, this is still an unfolding story so who knows, maybe all the free loans in the world won’t help. We’ll find out.
- AnimalMuppet 7y agoOr, maybe you're right, and the market would have fallen a lot further (or at least not recovered) if the Fed had done nothing. And, on that one, we won't even find out, because that's not what the Fed did.
- fallingfrog 7y agoAnd I can see the point too that in the short term in the middle of a crisis, they did what they had to do for the economy to survive. It’s after the crisis is over, and things start recovering, that they are really going to have to make unpopular decisions or reinflate the bubble.
- AnimalMuppet 7y agoAbsolutely agree. Getting back to stability is going to be... interesting.