The Fed's Low Rate Policy Is Delaying The Economy's Healing

From Real Clear Markets, "The Bernanke Fed Is Killing the Economic Patient" by John Tamny:

Indeed, in wreaking havoc with the cost of credit, the Fed is repelling the very savers whose savings would author the economy's rebirth. In attempting to keep the cost of credit low, the Fed is paradoxically making credit tight. David Malpass alluded to this in the Wall Street Journal last week with his comment that despite low rates, available credit hasn't increased except for the bluest of blue chip companies that are seen as good credit risks even at low rates of interest.

Cheap credit on its own is fine, but when interventionists make it artificially cheap, it's the equivalent of the Italian government decreeing that the price ceiling for Ferrari's will be $10,000. In that case, there would be lots of willing Ferrari buyers, but no Ferrari's to buy. Credit is no different. The high rates that would bring in the savers (on the way to lower interest costs down the line) are not being allowed, thus explaining tight credit despite "low" rates of interest.