Fed Eases Toward More Unconventional Action .

As the Fed look at the option of additional quantitative action these week during it's meeting, the debate will begin to rage as to whether or not this stimulus will do much good.  There is no doubt that the world economy is slowing as Europe continues to deal with it's debt issues and is in recession.  While China the economy every one could count on for growth has been slowing eroding.

In this WSJ piece a specific question is raised as who would be the beneficiary of another round of QE?  It likely won't be the people that need it the most who are already struggling with higher food and gas costs.  Those that are still without employment aren't likely to get much relief either because with out demand, companies will still have no need to hire.

• Over the past five years, people in the lower income strata have taken the hardest hits, but the benefits of lower mortgage rates and higher stock prices flow most directly to the better off.
• Only 37.2% of families in the bottom-fifth income bracket owned a home in 2010, according to the Fed, versus 91.5% for the top fifth. Only 12.5% in the bottom fifth owned stocks versus 86.6% in the top fifth.
• Moreover, if QE3 ended up contributing to higher food and energy prices, it is the poor who would suffer most. As of 2010, families in the bottom fifth devoted 26.7% of their spending toward food and gasoline and other energy costs, according to the Labor Department, compared with 18% for the top fifth.