The Grand Experiment Part 2: Unlimited State Creation Of Credit And Cash

http://www.zerohedge.com/news/2013-08-23/grand-experiment-part-2-unlimited-state-creation-credit-and-cash

What are the consequences of a central bank creating trillions of dollars for speculation and a central state borrowing trillions of dollars on a permanent basis? As noted before, risk cannot be extinguished, it can only be offloaded onto someone else or masked for a short time. The consequences of this sleight-of-hand (the Fed creates money to buy Federal bonds so the government can borrow and blow trillions of dollars) are not yet visible, but there will be consequences at some point; the risks have only been temporarily cloaked.Borrowing and printing $10 trillion hasn't fixed anything; it has only raised the reservoir of risk to the top of the dam. Cracks are opening as the pressure builds, and we should not be surprised when risk and consequence reconnect and the dam gives way.