Today the United States Federal Reserve Bank put forth it’s QE2 plan. Called quantitative easing or printing money if you like.
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We are probably witnessing death of US dollar as the worlds reserve currency as the U.S. goes to printing money to save it’s economy instead of smart trade and financial policies.
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The only thing that could change this is war with China or collapse of China other than that the US dollar is on the way out as the worlds reserve currency.
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I actually hope I am wrong on this count.
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Below is part of a main stream media article about this.
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The Fed announced a plan to buy $600 billion in government debt, aimed at driving already low long-term interest rates even lower. The central bank would buy the debt in chunks of $75 billion a month through June of next year.

Economists call it “quantitative easing.” The latest package gets the name “QE2” — like the ship — because it’s the second round. The Fed spent about $1.7 trillion from 2008 to earlier this year to take bonds off the hands of banks and stabilize them.

Here’s how it’s supposed to work this time: The Fed buys Treasury bonds from banks, providing them cash to lend to customers. Buying so many bonds also lowers interest rates because demand for Treasurys leads to higher prices and lower yields. Interest rates on consumer loans are tied to Treasury yields. Lower rates entice people to take out a mortgage or another loan.

At the same time, lower interest rates make relatively safe investments like bonds and cash less appealing, so companies and investors take the cash and buy equipment or other investments, like stocks. The S&P 500 takes off and Americans celebrate with a shopping spree. Businesses see a rise in sales and begin hiring again, and a virtuous cycle of more spending and more hiring ensues.