[generalpass]

The propping up of financial markets distorts the economy in terrible ways, but it does not tend to have the same impact as pumping money directly into the economy as the latter directly generates consumer price inflation.

What currently supports the entire apparatus is worldwide acceptance of the U.S. dollar as the reserve currency. If nations decide to end this policy (which they are free to do so at any time), then there is a good chance the money tied up in their reserves would end up back here in the U.S. and generate consumer price inflation, likely hyperinflation.

The consumer price inflation is highly undesirable because politicians will generally not be re-elected.