Before anybody spews another rant on the weak dollar, worsening inflation, crowding out and deficits/debts are going to kill us all, read and digest this:

http://www.bloomberg.com/news/2011-07-05/the-sorrow-and-the-pity-of-another-liquidity-trap-brad-delong.html
http://online.wsj.com/article/SB10001424053111903454504576490491996443926.html

The first one has a concise explanation of the liquidity trap which we're stuck in, and the second one proposes some solutions.

And no, inflation is not worsening, there is no crowding out and Treasury bonds are still highly in demand. And one solution out of this liquidity trap may be to devalue the dollar first.

http://krugman.blogs.nytimes.com/2011/08/05/that-was-the-inflation-scare-that-was/