We believe that the Fed is the primary culprit when talking about the business cycle and instability. Mark is not a big fan of the Fed and believes they do more harm than good. Said another way, they do not dampen the business, a cycle he believes they create it and increase its amplitude. The volatility we are seeing in the market is a direct result of QE1, QE2, QE3 (aka Operation Twist). We are not alone in this opinion. Fredrich von Hayek won a Nobel Prize in Economic Sciences for his works that show this to be the case. He is one of the great free-market economists of all time.
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