CNBC's Rick Santelli on the parlour game that is Quantitative Easing

Courtesy of Zero Hedge, will we ever see 'reality' again? Judging by CNBC's Rick Santelli's one-sentence epic rant Friday morning of the centrally-planned farce that we are living through... no. This exchange is in the clip above:

Liesman: "Why would you normalize rates?" 

Santelli: "Are we really that far down the hole that normalizing rates after this tremendous number - the huge drop in the unemployment rate - that you guys still wanna have the hammer-and-sickle on the flag"

So the short answer, it appears, is 'No'.

But perhaps it is Rick's seething anger in a second clip that exposes the reality of "the apologists" for the Fed and as he notes: "This whole thing is a Parlor Game and the country deserves better than Fed experimentation." 

Later in the day - an even more epic-er exchange.  In Liesman and Santelli II:

Liesman: "The Fed is doing the only thing it knows" 

Santelli: "The economy is better despite them." 

Anchor: "Where would we be today without the Fed?" 

Santelli: "We'd be significantly better now! What wouldn't have been significantly better is the one-year after the crisis - that would have been worse - but we would have been 'on the mend' Sam Zell-style, we would have hit a 'real' bottom."

Rick Santelli is so right.  The pain would have been sever, but malinvestment would have been cleared away and we would have had a genuine recovery by now.  Instead we are looking at a 'crisis' situation for years to come yet.

Both clips are well worth watching if economic policy interests you.

   

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