Ben Bernanke: Super Hero or Villain in Disguise?

Big Ben is arguably in the most powerful position in the world these days.  People react to his every word just as they reacted to the size of Alan Greenspan's briefcase when he was Fed Chairman.

So, with so much power, Big Ben Bernanke can use it to play "super hero", or he could easily become a "villain" to the economy.  Which one he ends up being is yet to be seen, but there is one thing for sure, he doesn't know either (or does he?).

Bernanke is reacting to the markets in the manner he thinks is right.  He faces financial problems, economic issues, and world domination.  The liquidity crisis, housing bust, financial ruins, Britney Spears are all things that rest on his mind as he tries to run the US economy.  He, somewhat admittedly, does not know how to deal with everything, so he will rush to increase inflation since he knows how to fight that. In the meantime, the dollar is expendable and recession shows its head virtually everywhere.

What is Big Ben and the gang's next move.  You will find out soon as their next meeting is coming up later this month.  Chances are that they will cut rates again and try to fuel inflation so they have a battle they know how to fight. 

Meanwhile, the banks will rush to "hide" more money to hide the disasters they face in their struggle to survive.  Lender CEOs will likely continue to cash in on their options before their company goes completely underwater.  And the government will scramble to patch holes in the system, likely throwing rescuers overboard in the rush to stop the leaks only to leave the drain plug uncorked.

Super Hero or Villain?  You decide, but it will all be shown in due time and I don't think even Bernanke knows for sure.

(image was found searching other blogs and is from Blue Wire Studio, so check them out as they have some pretty cool graphics)