…for hyper-inflation a la Weimar!
Bernanke acknowledged that the US economy faces an “unusually uncertain time,” but if necessary, he hinted the central bank would resort to “Quantitative Easing,” (QE), or printing vast quantities of US dollars, in order to prevent a deflationary spiral. With the US federal funds rate pegged near zero percent, Bernanke was asked by Senator Jim Bunning if the Fed is “out of bullets,” Bernanke responded, “I don’t think so. We are prepared to take further policy actions as needed to foster a return to full utilization of our nation’s productive potential and price stability.”