Jesse’s Cafe just did a great piece on Bernanke’s gamble with the dollar. It’s an entertaining take on the risks we face due to current economic policy. And this picture alone makes it worth the read:

bernanke

Here are two quotes from the piece that struck a chord with me:

The method is to look good by attempting to make most of the competing forms of currency and stores of wealth look equally bad.

There is enough money if the Fed can run the printing presses fast enough. That is the whole point. The bet is that people will continue to accept it in return for real goods and services, pretending that it has the same marginal value without regard to how much the Fed creates.