Finally, the US Federal Reserve is ceasing to hold Main Street hostage to its efforts to expand industrial production in the US. Manufacturing certainly has access to vast capital from the many "too big to fail" banks that are hoarding cash. Eventually, manufacturing in the US could show real signs of health, who knows. But until now, Main Street USA has been held in economic abeyance due to the dearth of capital for Main Street focused economic development. QE3 promises to place a steady stream of capital into the hands of Main Street entrepreneurs, especially for real estate development. Main Street now enjoys a level playing field with manufacturing and industrial development for the first time since the economic crisis began.
My primary economic concerns have always rested with Main Street issues, including the persistent long-term declines in real working wages, home values, and the employment to population ratio. I am now bullish on real estate development in the US. I anticipate that construction jobs will expand, real working wages have a shot at increasing, and home values will increase. Again, I am delighted to see that Main Street USA has finally found its way onto the monetary policy agenda. Main Street now has a chance of improving its fortunes in a way that does not await "trickle-down" from the manufacturing economy or Wall Street bankers.