It's worse. It looks like we are in a liquidity trap ie., stagflation. Business and individuals are building large cash reserves and no job creation or growth is going on. Monetary policy is now powerless to get the economy going
From wikipedia:
The term liquidity trap is used in Keynesian economics to refer to a situation where the demand for money becomes infinitely elastic, i.e. where the demand curve is horizontal, so that further injections of money into the economy will not serve to further lower interest rates. Under the narrow version of Keynesian theory in which this arises, it is specified that monetary policy affects the economy only through its effect on interest rates. Therefore, if the economy enters a liquidity trap area—and further increases in the money stock will fail to further lower interest rates—monetary policy will be unable to stimulate the economy.
Well... there’s something to be said for “keeping everyone happy and ignorant” — so they’ll keep spending their money and boosting business... no matter what is coming down the pike ... :-)