Fed economist: ‘No evidence that QE works’ as central bank starts unwinding program

CNBC/Jeff Cox/09-19-17

The Federal Reserve is on the cusp of reversing the most ambitious monetary stimulus program in world history amid questions over how much impact it really delivered.

There’s little question that the program, known as quantitative easing or “money printing,” boosted the stock market.

…”Evaluating the effects of monetary policy is difficult, even in the case of conventional interest rate policy,” St. Louis Fed economist Stephen D. Williamson wrote. “With respect to QE, there are good reasons to be skeptical that it works as advertised, and some economists have made a good case that QE is actually detrimental.”

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