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The White House is now fully aware that he is in danger. As Wall Street residents know well, it means that the Federal Reserve will soon be commissioned, once more, to crank up his virtual printing. The US Federal Reserve has already without previous $2 350bn (￡ 1, 471bn) assets on its balance sheet - including Government and the corporations ious trains purchased credits created electronically. And growing unemployment means the Obama political problems are just more profound.

So much more "quantitative easing", or EQ, is now a deal done. In other words, actions are set to receive yet another "sugar rush" State-sponsored Meanwhile, banks, will be able to transfer more uncertain loss and other loans mortgage securities unproductive mal-jugés their own books and those long-suffering public.This is the main reason for the stock market just to rallient.Les traders are anticipating a next
QE-boost for actions, as an increasingly desperate Obama takes action to save his own depressed prices part political.

It is not just America, of course.Chancellor George Osborne, all gave the go-ahead more UK money-printing ainsi.La Bank of England has already pumped ￡ 200bn EQ "funny money" in the economy before calling a judgment in February. Last week, monthly meeting, the Bank resisted calls to restart QE. But with the Government is now seeking effective pour plus d'informations, such resistance could soon be broken.

This time last year, the Conservatives took position bold on this issue, involved using an expansionary monetary policy greatly. In his speech Conference 2009 party, David Cameron has ostensibly QE tepid. "A little earlier, he must stop," he said. "Because ultimately, silver printing leads to inflation."

At that time, of course, Cameron was in opposition.Now, he runs the country. Perhaps highest responsibility is mental clouding process of reflection between the upper echelons of the conservateurs.Ou may not.The reality is, if observation that Cameron remains as true today as it was before entered Downing Street - if anything, even more.

The increase in consumer prices is 3 1pc - way above 2pc ICC target Bank, as it has been for many months. There are pressures on prices more clearly pipeline.à noticed penalty issued Friday, the figures show that the UK producer input inflation is now 9 5pc.

While the United States doubled its monetary base over the last 18 months, the United Kingdom base money supply has tripled .c ' is correct - silver base UK is now three times as large as a percentage of GDP was at the beginning of 2009.Taking into account all this money-printing - sorry, EQ - the danger is that inflation expectations stand and pressure on prices for spin control.

For the moment, much money the United Kingdom EQ remains "inert" and therefore still inflationary step, seeing that the banking sector has until this denied to lend to companies and households - one of the reasons the British economy remained so low.Will continue to be the case, in my opinion, until the banks have blackmail the British Government following the "lead" America and EQ expanded to include the purchase of the "active" toxic business as well as government bonds.

Finally, though - and it could not take long - huge expansion base the United Kingdom money supply will cause larger bubble, monetary aggregates even though the creation of multiple credit remain relatively restrained .the ' Silver EQ is here and it is virtually impossible to withdraw. Once this money gets into circulation and leant is others against several times in the UK could face "stagflation" - when high and rising inflation combined with an economic slump.

For the moment, none of these concerns appear to account for anyone who is remotely able to influence directly the événements.Pour latter-day, the tone of the intergovernmental debate on the global economy became a terse and more bad-tempered.During the annual meetings of the international monetary fund and the World Bank in Washington this weekend, Ministers and senior officials were using language that truly has not been heard on the international
in times of peace progress since the mid-1930s .the ' presentation is "aggressive trade barriers", "protectionist retaliation" and "currency war".

Until very recently, ve has been presented as an unfortunate but necessary to avert deflation, while allowing the most policy loans from the Government and the promotion of loans via the recapitalisation of the Bank.It was the official reason for money-printing of many "advanced economies" practiced in response to a "sub-prime", including United States and United Kingdom.

Since the gloves came off the coast.EQ is now seen as a policy aimed at weakening the national currency of the country to strengthen the competitiveness of exports and reduce the real value of sovereign debt held by foreign creditors.Many Western economists acting as if they are caught, that is the case.Some of us have been pointing to this unwelcome reality for what seems a very long time.

The race for the coins cheaper a has only just begun.Last month, the Japan intervened in exchange for the first time in six ans.Les United States markets and United Kingdom, meanwhile, with now imminent QE2 appear to be actively dampen their currencies .c ' is the beginning of a trend that will dominate the market Exchange 4 trillion dollars a day in the world for years to come.

Course, China's increasingly accused the West of artificially pushed the value of the yuan.Les major emerging nations, meanwhile, explicitly pointing now the Anglo-Saxon printing money like dette.Le hazard reduction scheme is, of course, as semi-covert moves to cushion becomes aggressive, chauvinistic dévaluations.De this way is great danger.Il was such retaliation policy "beggar-thy-neighbour" currency in the 1930s as capital controls and the trade barriers huge undermined the life out of world trade, which triggered the crisis.

Emerging markets increase much faster than "advanced economies"-4pc 6 this year, compared with only 2 2pc Western .this trend will continue for years to venir.Il is therefore very likely the real yuan ruble and the rest of the "new" currencies rise against the dollar and the medium-long term paper .the ' West will be finally get what he wants.

Between, politicians will be enormous economic damage and cause diplomatic problems if they continue to print money and wading in exchange for title favorable.Mais markets it is unlikely for the arrêter.La single lesson of history, after all, is that we never learn the lessons of history.

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