[In veno, veritas]

The Fed is attempting to stop deflation by inflation. The housing market and commercial property collapses wiped out a lot of wealth. The Fed is trying to prevent a deflationary recession by inflating the dollars, which will probably have disastrous affects.

[wastoute]

It may be “economy neutral” to just print up a bunch of money to replace what was lost in the melt down but most of the “new money” isn’t in the hands of the folks who lost value in the melt down. So essentially what we have seen is theft. Oh, I’m sorry, “redistribution”, yeah, that is what we call it now...

[9YearLurker]

Exactly, they’re battling deflation. Deleveraging in banking and the unwinding of massive securitization also left a whole in the money supply for them to compensate for.