Money Printing Only Postpones the Problem

The Federal Reserve and other central banks around the world, they think they can essentially steer economic activity by printing money. This money printing has a number of unintended consequences that will eventually be very costly.

It’s not the first time the Fed has intervened. They intervened after the S&L crisis, after the Tequila crisis, after LTCM in 1998, and then after (the year) 2000 when the Nasdaq collapsed. They kept interest rates artificially low which led to a credit bubble, the housing boom and subsequent collapse.

You can postpone the problems by printing money, but then the problem comes back to an even larger extent.

- Marc Faber via a recent King World News interview:

http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/7/6_Faber_-_Brace_For_Financial_Destruction_%26_Sovereign_Defaults.html