Lower interest rates . . . . hmmmm

Well, the Fed has lowered interest rates again . . . down to 1%. That's great for borrowing costs assuming there is someone out there who wants to loan you money but the bigger question is, "Wasn't it low interest rates that created the subprime/financial meltdown in the first place?" Back in the day when Greenspan kept interest rates really low for a long time, not everyone was happy. Investors in bonds weren't. So the financial engineers started to create instruments that would increase the yields . . . . yes, derivatives, etc. You know how that's turned out.

I just think it's interesting that the solution to the current economic problem on one hand is the hair of the dog.