The Federal Reserve Board's decision to proceed with "quantitative easing" or in simple terms printing more money to buy back government debt is in reality a move to devalue our currency. This will have a number of effects both good and bad. First of all this will cause inflation in our economy. We will have to pay more for food and goods of all types. Our salaries will not go as far. Utility bills will go up. Fuel prices will go up. Seniors Social Security payments will buy less and some seniors will have difficulty just surviving.
What are the good effects? Our exported goods will be more competitive. China and other countries will not be as competitive with our own export goods. Other countries will not get so much of a free ride on our economy as they have been getting. The burdensome value or our public debt will not be as high (so now the Democrats can spend even more money!)
Some people insist that the Fed move is protectionist, and so it is, but it does not go far enough. It is kind of a wimpy adjustment in my view. Also, we need to do a lot more to protect and re-build our own manufacturing base. We need to tax or tariff imports on a fair basis (Fair Trade instead of Free Trade.) If the Fed is really trying to stimulate our economy, a better way would be to issue bonds to collect money to be invested in private business plant, equipment, skills training, and infrastructure which we badly need. Agree with me or not. It is your choice but note that every year we continue to lose industries and jobs is another year closer to the decline and fall of America if we don't do something. Write your Congressmen and tell them what I am saying or whatever you think. But get involved!
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