The Fed, with QEs, helped some kids to have a merry Christmas. Now we’ll have to see how all parents pay for it.

Sir, I am amazed that on November 1, 2014, you can title your editorial “Farewell to the Fed’s QE3, a monetary job well done”, all as if its entire job has been done.

Yes the Fed, with its QEs, like a Santa Claus brought some children a lot of gifts paid for by parents’ credit cards, and helped to keep up the Christmas spirit.

But now it is up the parents to pay for those gifts, and to see what to do with the kids who did not receive much or any of these… and, if all that goes well, then that would be the the time to thank the Fed/Santa Claus… not one second before!

You hold “QE was exactly the right thing to try in reviving the US economy”. And I say absolutely “No!” to that.

Before any QE could be really productive, the US (and Europe) needed to remove those credit-risk-weighted equity requirements for banks that cause so much distortion in the allocation of bank credit to the real economy. Those dumb risk adverse regulations caused the crisis and stopped the recovery.