[quote=The-Shoveler]I respectfully disagree, while they could not stop the 50% drop they did prevent it from turning into a depression and they did know what they were doing and what would happen IMO.
I say no big crash until everyone is feeling really over confident and inflation brings local municipalities back above water (not going BK left and right) we are not there yet (IMHO anyway).
[/quote]
How do you know that they actually prevented a depression rather than just postponing it and potentially making the next downturn worse. At this point most people would agree that fed policy was a significant driver in the housing bubble and that policy was put in place to avoid the pain of the 2000 stock market bubble popping.
Every time we’ve gone into recession in the past 20 years it’s worse than the previous one and the fed does more and more policy accommodation. What are they going to do the next time we inevitably go into recession. I really think we’re all just hoping we don’t go into recession soon because we all know there’s nothing much the fed or congress can do to bail us out.