At the Wall Street Journal, Allan Meltzer suggests that Ben Bernanke is taking the country down the road it was on in the 1970s:
A country that will not accept the possibility of a small recession will end up having a big one when the politicians at last respond to the public’s complaints about inflation. Instead of paying the relatively small cost of a possible recession, the public pays the much larger cost of sustained inflation and a deeper recession. And enduring the deeper recession is the only way to convince the public that the Fed has at last decided to slow inflation.
True, but it’s not only the Fed that’s at fault here. The White House and Congress will deserve shares of the blame thanks to their massive Keynesian "stimulus package."