Who Will Foot the World's Bill?

All the talk this year of "QE and monetary stimulus" and yet no action from any of the three major world economies makes me think that each one is waiting for the other to reach into their pocket first and fund what would likely fuel a temporary rally in world markets.

The questions are:

• Is it warranted?
• Can they afford it in the long run?
• What purpose would this serve in the long run?
• Who is willing to pick up the tab?
• How much would they provide?
• For how long would they keep the purse open?
• Who has the most to gain from such action?
• Who cannot afford to sit back and wait?

The three choices are the U.S., Europe (represented by Germany), and China. The Weekly charts below depict market action in each country for the past three years.

Time will provide the answers to these questions. In the meantime, perhaps a clue may come from that country where "QE and monetary stimulus" are most often mentioned as a cure-all for what ails the economy. Care to lay any bets on the table as to who will blink first?