Read this: http://www.nytimes.com/2010/09/27/opinion/27krugman.html?ref=paulkrugman and then consider this question: If we are locked into debasement as a strategy to weaken the dollar and improve our trade deficit, AND locked into deep unemployment gridlock, doesn't it begin to make sense to start direct stimulus measures based not on deficits but on debasement practices? The fed could, for example, lend directly to US consumers at zero interest sparking small business investment and even a whole range of personal infrastructure improvements like weatherizing your home, installing solar panels, buying that electric auto, blah blah. The point is that wouldn't debasement dollars be best spent directly generating demand in the USA? So what if the default rate was high? The money would be spent and the economy would realize a benefit, without increasing federal deficits. Is it time for the "helicopter Bernanke" approach?