Why did the Fed make that decision two years ago? What was its rationale?

Just last Wednesday the Fed said it would flood the teetering financial system with an additional $1.2 trillion.

The money will be used, the Fed said, to buy government bonds and mortgage-related securities in hopes of lowering the borrowing costs for home mortgages and other types of loans, thereby stimulating economic activity. In other words, the central bank will print more money to pay for the purchases.

"And it will only serve to delay and enlarge the scope of the impending day of reckoning for the United States," he adds.