of the US economy. This chart explains why there is no apparent high inflation after five years of easy money policy:
Like an addict who no longer gets high on the usual amount of drugs, the general US economy is not responding to quantitative easing, but the stock markets sure are. If reserve injections were evenly distributed throughout the economy the multiplier effect would be higher and stable. Beside benefiting asset owners, the Federal Reserve has a mandate to implement policies that foster full employment, but it and the administration has accepted high unemployment as a new fact of life. Apparently, it is easier to consider US Person "unemployable" than give him a job. Failing to respond to long-term employment while implementing austerity policies has reduced our nation's productive capacity by about 7%:
source: Mother Jones