Quantitative Easing Or Just Plain Stealing

Evan Mulch shared Deep Thoughts, by Ben Bernanke's photo.

Quantitative easing is a euphemism for an inflationary strategy of monetary policy pursued by central banks. The bank adds money to its balance sheet ex nihilo (out of nothing), and uses the new money to purchase government securities, thus increasing bank reserves, raising the prices of government securities, and lowering their interest rates. It is equivalent to simply printing additional legal tender. ~Credit for this definition goes to the Mises Institute