Some idiot once proclaimed of the Washington rodent-class: “We’re all Keynesians now!” No, you were and are just stupid, greedy, and evil. Keynes, for all his faults, had this insane idea that at some point the debts needed to be repaid. We’ve long since passed that point and then some. This cannot go on forever.
The trap the Federal Reserve has stumbled into is that it continues to require more interventions to sustain lower rates of economic growth. Whenever the Fed withdraws interventions, economic growth collapses.
As shown, since the turn of the century, each economic cycle has failed to attain a higher rate of growth than previously. The Federal Reserve lowered interest rates to stimulate growth. However, after reaching the “zero bound,” the Fed engaged in expansionary monetary policy.
They made it. They stepped in it. Let them fall into it. What will happen, when things totally fall apart, is that the debt-based funny money will be erased. Then it will be replaced with something that works. Then, history will probably repeat.
I’ve been commissioned to write a brief history of the Fed concurrent with a policy that the Fed enabled from its inception. Look for that soon.