Central Bank Prophet Fears QE Warfare Pushing World Financial System Out of Control

To escape lingering economic malaise, the European Central Bank announced plans to engage in stimulus spending by printing euros to purchase an array of bonds – €60 billion each month at least through September 2016 for a total of at least €1 trillion. The proposal was double what analysts had expected. The rescue comes late amid currency wars and efforts by other central banks to keep bank interest rates near zero. “All the major central banks are stoking asset bubbles deliberately to put off the day of reckoning,” suggests Ambrose Evans-Pritchard, international business editor for the Telegraph, writing on an interview of economist William White, an advisor to German Chancellor Angela Merkel. White points out that Europe, unlike the United States, has more small businesses that borrow through banks rather than sell bonds. White described quantitative easing as a “form of competitive devaluation” that borrows from the growth of future generations. White anticipates serious consequences for both nations that engage in quantitative easing and the global markets. – YaleGlobal