Spain goes through a serious crisis, yes, but a few matters. Stop buying our debt and go to something else, like typical TV news catastrophic event that draws your attention first and after few seconds or even remember where it was produced. However, if the United States (hereafter U.S.) stumbles upon a small gap in the sidewalk we heard all, and while we learned.
U.S. is stuck, let's go to GDP: GDP = C + I + G + (X - M)
Historically, the American colossus is characterized by strongly depends on consumption (C) Recently up to 71% of GDP. In this they're like us, activity is slowed and there is enough liquidity in the household to consume as before. The equation is easy, if C low, low GDP.
Let the rest. With investment (I) government can do little but through public spending, those who really are started under this heading are individuals, large companies committed to new technologies or to create profitable, long term, and today today they are not the work. We have a couple of values \u200b\u200bthat would grow the gross domestic product, government spending (G) and exports (X), as imports (M) computed negative. Appears then the solution to all our problems, Obama dixit, or rather dixit Roosevelt back in 1934.
stimulus plan is as follows: the U.S. president, in line with President Federal Reserve (FED), buy bonds. Of course, upon payment of the precise monetary amount, and thus injected into government coffers millions and millions and millions of dollars. What are the positive consequences of this movement? For the U.S. the following two:
- The government now has in its hands the key that opens the door to GDP growth. Enough money to pay up in government spending (G), ie, new roads, infrastructure, housing and public transport of all kinds. This, without doubt is a brutal business jet market, beyond the equation.
- The dollar amount in circulation is greater, much greater than before. And by the law of supply and demand if something is plentiful, its price ... low. Simple right? This can be easily seen in the sharp devaluation of the dollar against the euro and other currencies powerful as the yen or the yuan. Good time to travel to the U.S., when we go to bank to cash for $ € will give us a handful of the latter. With this depreciation (so it must be said) of the U.S. currency, the products of this country become more competitive in the global market, so U.S. exports greatly improved because he wants everyone is buying goods and services denominated in U.S. dollars Americans. Grow exports (X) and so does GDP. Double boost.
This second (devualuar your currency) is a very logical and not called to serious consequences in the future. However, like all beautiful things in this life, is but. And the but is that the government of any country is allowed to manipulate the exchange rate to ease from abolishing the system of fixed exchange rates. Thus, the measure is restricted. Why the U.S. makes it through the injection of notes and coins in the market, which shows a double positive effect on paralyzed its economy (which we have seen above). In the Economic and Monetary Union, to which we belong, is neither possible nor devalue your metal, it is the same for all (€), and inject all the copper you want, because that dictates what the European Central Bank for the sake of Union, not a particular country. We are tied hand and foot. With the peseta we had been allowed to devalue and be thrown overboard many of our problems, Paul Krugman, Nobel Laureate in economics, dixit.
Explained stimulating Obama, nothing innovative or protector of course, arise multiple blots to be clarified and why so many politicians decry rigor and thoughtful minds expansionary monetary policy of U.S. President:
- Products European Community, Japan and China become less competitive compared to Americans. Exports are less greedy for rest and the consequent result of GDP, at least in Europe is not exactly booming. Germany has pissed off and rightly so. Have to bother as China in the shoe that you're slowly and with good lyrics out of a difficult time as a neighbor in your same situation illicit use of a trap in the game and try to move forward at your expense.
- The more than possible, probable and moderate inflation may emerge in the U.S. within X years, not more than ten.
- runaway deficit. U.S. goes into debt for many years himself.
The vertical line indicates the arrival of the Roosevelt presidency 
current deficit projections for the coming years Many speak of manipulation indirect exchange rates, hiperinflacón hazard and others simply believe this momentum as the only way to leave behind the risk of another Great Depression. Successful "as Roosevelt or public enemy XXI century? Only time will tell Barack.
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