Keynesian econ relies on Gov spending. I prefer classical econ as the Gov had to live with the $’s it taxed for the most part. Macro theory is actually National Income Accounting. The old money and banking course in classical econ would wake anyone up against what this Fed is doing.
If you look at something call the LM/IS Curve, you can see that the intersection of the monetary curve (LM) and the fiscal curve (IS) is in what is called the Keynesian Liquidity Trap. The short answer is monetary policy is going to be totally ineffective in affecting real growth. The correct policy now is reduced taxes for both business and individuals. However, politicians prefer buying votes with the money from productive members of society and then giving it to non-productive members. If you doubt this, try to explain free cell phones. The whole idea of punishing the rich and give to the poor makes no sense on so many levels. Have any of you been hired by a poor person? Why can Obozo realize a rising tide lifts all boats? Idiot...