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<blockquote data-quote="Up In Smoke" data-source="post: 5399230" data-attributes="member: 79702"><p>I&#039;m a small business owner first and an investor second.&nbsp; I would argue that a poor response to the 9/11 attacks started our current debt/deficit Fed issues.&nbsp; In response the treasury dumped money into the economy, the government deregulated mortgage standards and funded unwinnable wars.&nbsp; The dollar bottomed out, the trade deficit skyrocketed and people blindly borrowed money from unscrupulous sources.&nbsp; Enter recession of 2008, unemployment, foreclosures, bailouts and the treasury again frees up money for the Fed to inject into the economy.&nbsp; So 2010-2014, more bad policies, more bad spending, more bad Fed guidance.&nbsp;&nbsp; Finally in 2014, with the help of sequestration, the government spending is restrained, the Fed can begin to gain some control of the monetary policies and the economy can begin to build organically.&nbsp; Finally as the US chugs slowly along, it&#039;s determined we need to spend more, take in less (tax cuts), drive down the value of the dollar, max out our trade deficit and tariff goods essential to our everyday needs.&nbsp; The Fed again in 2018 tried to gain some sort of control of the economy by raising rates and reducing it&#039;s balance sheet, but the market responded badly and they decided to reverse course in 2019.&nbsp; More QE, more money injected and lowering of interest rates.&nbsp; Enter the pandemic, 3 trillion dollars more in spending (helicopter cash), massive injection of dollars from the treasury to save the economy and bailouts for dozens of industries.&nbsp; Today we pay the price for two decades of bad government spending and bad monetary policies.&nbsp; IMO.&nbsp; But hey, the stock market was saved.</p></blockquote><p></p>

[QUOTE="Up In Smoke, post: 5399230, member: 79702"] I'm a small business owner first and an investor second. I would argue that a poor response to the 9/11 attacks started our current debt/deficit Fed issues. In response the treasury dumped money into the economy, the government deregulated mortgage standards and funded unwinnable wars. The dollar bottomed out, the trade deficit skyrocketed and people blindly borrowed money from unscrupulous sources. Enter recession of 2008, unemployment, foreclosures, bailouts and the treasury again frees up money for the Fed to inject into the economy. So 2010-2014, more bad policies, more bad spending, more bad Fed guidance. Finally in 2014, with the help of sequestration, the government spending is restrained, the Fed can begin to gain some control of the monetary policies and the economy can begin to build organically. Finally as the US chugs slowly along, it's determined we need to spend more, take in less (tax cuts), drive down the value of the dollar, max out our trade deficit and tariff goods essential to our everyday needs. The Fed again in 2018 tried to gain some sort of control of the economy by raising rates and reducing it's balance sheet, but the market responded badly and they decided to reverse course in 2019. More QE, more money injected and lowering of interest rates. Enter the pandemic, 3 trillion dollars more in spending (helicopter cash), massive injection of dollars from the treasury to save the economy and bailouts for dozens of industries. Today we pay the price for two decades of bad government spending and bad monetary policies. IMO. But hey, the stock market was saved. [/QUOTE]

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