At Americans have asked for forgiveness for "quantitative easing"

[vostok]

Program of so-called "quantitative easing» (QE) does not helping the real economy, and the bankers on Wall Street, said the former head of a key program of monetary stimulus the U.S. economy Andrew Huzar, asking for forgiveness from the Americans.
"I'm sorry, America - Huzar wrote in a commentary for the band comments the newspaper The Wall Street Journal. - As a former employee of the Federal Reserve system, I was responsible for the implementation of the central part of the first experiment of the Fed's bond buying, known as quantitative easing. Our central bank continues to advertise QE as a tool to help Main Street (the main street, that ordinary Americans). "
"But now I realize that it really is the program: the largest in the history of the rescue operation at backroom bailout of Wall Street ," - he said , according to ITAR -TASS.
Huzar to 2008 worked for seven years at the Fed , then left on Wall Street and in the spring of 2009 , he was invited back - to engage in buying up bonds.
"Throughout his nearly century-old history of the Fed until then had never bought any mortgage bonds " - writes Huzar .
"Now my program every day ... bought so many of them that we are constantly risking too high to drive up the price of bonds and bring down all over the world trust in key financial markets. We worked feverishly to save the impression that the Fed knows what to do , "- he writes.
But soon a specialist , according to him, began to notice that the program does not promise to facilitate access to credit ordinary Americans , but only brings additional profits on Wall Street. Results of the first round of the program , which ended March 31, 2010 , is affirmed.
Huzar newly retired from the public service . A few months later the Fed announced the second round - QE 2 ( now there is the third round of QE).
"Where are we now? - The author asks rhetorically . - The Fed continues to buy bonds by about $ 85 billion a month, chronically tightening even minimal curtailment program. In five years, buying up bonds in the amount exceeds $ 4 trillion . "
" Amazingly enough for a country with a free market economy is supposed to , QE has become a major intervention in the financial markets on the part of any government in the history of the world ", - he said.
Referring to the non-governmental estimates , Huzar says that the country's economy returns on investment of 4 trillion could be "only 0.25 % of GDP ", ie approximately $ 40 billion. But on Wall Street spilled a golden rain .
" In the U.S. banks that have received subsidies opaque Fed hundreds of billions of dollars , the collective stock quotation from March 2009 has tripled , - stated in the publication. - And the biggest of them became even more cartel : 0.2 % of them now control more than 70 % of all banking assets in the United States. "
The overall conclusion Huzara boils down to is that the program QE « is not really working." She continued , in his view , because the current Fed Chairman Ben Bernanke is based on the principle of " doing something is better than nothing ." By the way according to the author , " shares the same approach and the likely successor" Bernanke - Janet Yellen .
" The purpose of this position is that if the Fed compensates for the rest of the dysfunctional nature of Washington - indicates Huzar . - But the Fed is in the center of this dysfunctionality . And here is an example : it is possible to become a QE for Wall Street's new "too big for the failure of " politics. "
"Too big for failure" in the United States is usually called systemically important financial institutions whose collapse is fraught with unacceptable consequences for the economy as a whole and are therefore supposed to save at any cost.