I don’t think the government is so much deliberately driving up stock prices. QE II drives yields on treasuries and other credit instuments, driving investors into stocks.
Things will end painfully no matter what anybody does. The fairest and least painful (long term) end game is to balance the Federal budget, honor existing contracts and avoid inflation.
“I don’t think the government is so much deliberately driving up stock prices”
They are deliberately printing money and holding down interest rates. The 47% low information voter usually equates the economy with the stock market, so if its up they think the economy is good.
Judging from the history of every demonrat controlled city/state there will be no efforts on their part to bring this under control.
Our economy and many around the world are just a house of cards.