One camp believes that as the UK retreats within its domestic borders, there will be a flight of capital to larger safe-haven economies, driving down the British sterling, and thereby increasing the cost of imports.
The Federal Reserve's core guiding belief is that economic stimulus boosts economic growth, thus increasing employment opportunities, payrolls, tax revenues, corporate profits, retirement security and Wall Street wealth.
Financial conspiracies are a USA tradition. I don't mean stories pushed by anonymous commenters who lurk on the internet, or people who send you poorly written emails from yahoo accounts. I refer to daily activity in the financial markets.
Instead of finding ways to increase our productive capacity and boost household incomes, which are the real wealth creators, Republicans continue to benefit the few at the top of the food chain, most of whom are only interested in enriching themselves.
As the outlook for growth continues to deteriorate, whilst the price for goods and services remain stubbornly high, the risk of stagflation returns. This would be a tough scenario, where policy options tackling one of these issues would only worsen the other.
The cyclical bull market in stocks and positive print on GDP has caused some on Wall Street and in D.C. to claim the recession has ended. A closer look indicates that neither believes its own rhetoric.
While Obama was in Illinois shoveling sand in bags to hold back the Bush-neglected infrastructure that was crumbling around him McCain was on his way to accept whoops and cheers from oil industry insiders.