This story starts off with good intentions like most stories. The world economy was booming because of the productivity created by the internet and global trade. The world was printing tons of money and people were chasing higher returns because of the low interest environment all over the world. A great place for those funds was US real estate. During the wild wild west of real estate financing of the early 2000s, banks found an innovative way to make more money by providing more loans for people who did not quite qualify.
Just under forty years ago, we looked at the Chinese economy as a third world country. Their GDP in 1980 was just $300 billion compared with the US with $2.8 trillion. The US economy was almost ten times bigger! However today China's GDP is about $11 trillion versus $18 trillion. Chinese GDP per capital has grown from $156 to over $14,000; helping hundreds of millions of Chinese citizens rise out of poverty.
Well Ben Bernanke pulled the trigger. Quantitative easing round three. Forty billions of mortgage bond purchases a month. Whether it's the right or wrong decisions, only time can tell. Greenspan had his hand on the trigger for quite a long time but Helicopter Ben has the worst financial situation to deal with since the 1930s, so perhaps he may be cautious to not repeat the mistakes during the Great Depression that prolonged the situation. But one can also question his timing. Republicans hate him - that's pretty much a known fact.