Video: Steve Forbes on financial policy
It's not so much tighten or loosen, it's stability. Instead of inflation or deflation, how about a policy of flation! And that means fixing it to a narrow range on gold and then people could trust the dollar again ... you get more realistic interest rates, you get more investment instead of speculation in currency's and commodities. So, I think the key thing is for the FED to make it clear they're abandoning a weak dollar policy. They have various ways they can say signal that, like saying it. And then following through by stop the printing presses ... pull the plug.