QE (quantitative easing) has arrived and will ultimately impact the financial well being of all Americans.
Is it possible that something so profoundly disrupting to the financial world would go unnoticed by mainstream America? Is John Q Public indifferent or oblivious to the Fed implementing a reckless monetary policy previously reserved for banana republics?
In an unscientific poll that I conducted, 20 investors, clients and friends were asked the following question: “What is quantitative easing?” The results are revealing:
- 40% had never heard of it.
- 35% thought it was a program to help the banks, similar to the TARP.
- 25% thought it was a government program to lower mortgage rates.
The individuals polled were all college educated, successful upper middle class individuals, with family incomes in excess of $100,000. None of the poll respondents worked in a financial capacity but most of them had investments in stocks and/or bonds.
I subsequently sent the YouTube video below to the people polled on QE. Humor can reveal the truth in a more devastating manner than the most eloquent explanation by the best financial analyst. Most of my polling sample got a laugh out of the video but were not amused by the message.