Is QE2 an experiment too far?

HAS QE2 GONE TOO FAR?

In October 2010, the latest in the long series of Queen Elizabeth ocean liners was launched to general acclaim.

In November 2010, the latest round of QE or quantitative easing was announced in the USA, possibly the precursor to a reflation programme by central banks around the world. Will this be similarly acclaimed by investors, or is it an experiment with uncertain consequences? Since the late summer, US central bankers have discussed the need for more unconventional monetary policy to support the economy. The discussion began in August, when there was speculation that the US could fade back into the fabled 'double dip' recession, while more recently there have been worries that the US is alr...