[laughingbovine]

Guys this is low-level plumbing work to keep the market moving. If they DIDNT do this, then people wouldn't be able to make trades, and that would cause trust to be lost in the system, and that would be really bad. Someone correct me if I'm wrong, but I believe this money is for what are effectively loans that will get paid back in a very short amount of time.

[RIMR]

Maybe trust SHOULD be lost in this system if it can't withstand the real world without falling into chaos...

This money could do so much good in our society, and yet we're using it to prop up a broken capitalist system that contributes to economic problems for Americans.

[imcoconut]

I actually tend to agree with you philosophically. But practically the outcome of inaction on the fed's part would very likely be disastrous to regular Americans.

Think about America during the great depression. Modern fed theory and policy is all aimed toward preventing something like that from happening again. It's possible that without TARP, QE, etc. in 2008 (and onward) the great recession would have become great depression 2.0.

While a complete economic reset might be in order, the question is how well would America fare during the transition?