The Achilles’ Heel of Economics
is that this is a study that has little forecasting power. Theories are formulated post-fact. According to the classic economics theory, quantitative easing should lead inflation to go up and the country’s currency to depreciate in value. Though that is certainly not the case in the 21 century globalized economy we are in today. US government’s printing press was in full steam, yet deflation is a concern and USD is stronger still.
