The Federal Reserve has been pumping trillions into the U.S. economy through its Quantitative Easing program. But one Fed official is unconvinced it was the right move in the first place, reports Zero Hedge.
Stephen D. Williamson, vice president of the Federal Reserve Bank of St. Louis, “is out questioning the efficacy of QE when it comes to stoking inflation and boosting economic activity. Williamson says the theory behind QE is ‘not well-developed,’ and calls the evidence in support of Ben Bernanke’s views on the transmission mechanisms whereby asset purchases affect outcomes ‘mixed at best.’”
Read the rest here.
Read Williamson’s white paper here.