The ticking time bomb in Europe’s latest economic stimulus


FRANKFURT AM MAIN, GERMANY - JUNE 05: (EDITORS NOTE: Image has been converted to black and white.) Mario Draghi, president of the European Central Bank (ECB), speaks during a news conference at the bank's headquarters on June 5, 2014 in Frankfurt am Main, Germany. (Photo by Thomas Lohnes/Getty Images)

Fortune: “The European Central Bank has pointed its economic bazooka in the wrong direction.

The ECB announced a series of economic stimulus measures on Thursday designed to induce banks to put more of their cash to work. But policies intended to “force” banks to lend rarely, if ever, work, especially if those banks are barely solvent. Europe needs to get real about its so-called “zombie bank” problem and take the hits needed to unclog its lending machine. Throwing more grease on the problem won’t loosen up the gears — it’s probably more likely to start a grease fire.

Mario Draghi, the head of the ECB, famously promised two years ago that he’d do “whatever it takes” to save the euro.”

Opinion: Mario the Keynesian dragon Draghi is ready to print money till the ink runs dry. Keynesian economists only know stimulus. They do not comprehend letting poorly run businesses go bankrupt so that they can emerge under new management and a lean business plan that might actually work.

Printing your way out of financial stagnation has not produced growth in either the US or the EU but that has little or no bearing folks running the central banks.

Negative interest rates, or paying the bank to hold your money, is the latest scheme to discourage saving and force spending to show growth in the economy.

It won’t work either. The economies of the EU and the US have a date with Bible prophecy. Revelation 6:5-6 sums it up with a sudden collapse of currency leading to hyperinflation.

That, you can take to the bank.