Historical data tells us that increasing money supply causes inflation. No country will be leaving EMU. There is nowhere else to go. Countries are trying to join EMU not leave it. When economists talk about withdrawing money from circulation they mean raising interest rates. This takes political leaders with real guts. The current leaders of the US are trying to kick start more lending and spending. Where do you think this will lead?
Intradaybill, do something for the economy and stick to your ET name ! Create intraday bills and spend some money thus enforcing "velocity of money" !
it is unbelievable how many people believe this mantra. it seems we actually need some hard lessons in economy 101 once again... quantitative easing IS printing money and in a technical way is the only way to do so. zimbabwe was doing the same thing with the only difference that they stopped accounting for it (in terms of the domestic debt). to say that money can be easily withdrawn when signs of inflation show up is naive at best. think about political implications - especially when the inflation signs are during high unemployment. next, who will be suddenly buying back all these treasuries if US is screwed up? how do you get them back to investors? etc etc.