... the great consumer crash of 2009 ..., page-16

An interesting thing about money is ithas a velocity. Even though moneteary trheory covers it, and there are many many academic papers with all sorts of complex academic mathematical formulae in them, no one has ever worked out how to measure it. When the economy is booming, credit is expanding, reserve safety margins are cut, money moves fast. But when everyone is afraid of borrowing, banks are afraid of lending, even to each other, hoarding occurs. Bigger safety margins are required. Velocity slows right down. The same money is much less stimulating.

Its a bit like running a car in top gear or first gear. You need alot more fuel in first gear and you travel a lot more slowly. So the central banks of the world pump money/fuel in to try to go faster. But if the market moves up a few gears and all this extra slow money becomes faster money there are more fast dollars chasing the same output and stock of saleable assets. Result? Delayed inflation. This could be in our future in a few years. Not now. We are in a lower gear and slowing down somewhat.