[turbo6bar]

Hmmm, I think he has it reversed. A housing market in a tailspin will throw the economy into a recession. Also, dollars extracted from housing equity weren't taken from other's savings accounts. Those dollars are borrowed via foreign central banks and a growing monetary base. See M3 numbers.

Otherwise, I agree that folks need to let Bearnanke do his job. The days of cheap money are over and that theme is supported by the quotes I posted above. "Synthetic" growth is no substitute for real growth. I surely don't mind higher rates. My high cash position benefits from bridled inflation and deflating asset prices. Rock on, Ben.