In 2003 Paul Krugman predicted money printing and soaring interest rates

"[M]y prediction is that politicians will eventually be tempted to resolve the crisis the way irresponsible governments usually do: by printing money, both to pay current bills and to inflate away debt. And as that temptation becomes obvious, interest rates will soar."

This was written in 2003. We know now, in 2010, that the Federal Reserve is printing money and is monetizing the debt, but they have been able, thus far, to keep interest rates down. Disaster has been delayed for a long time. How bad will it be when interest rates begin to rise out of the control of the central bank's ability to print more money? When they lose control, how high will interest rates soar and will the US government be able to borrow any money at all, for any price? What will happen to US small business, homeowners, and local governments when their interest payments skyrocket? Will we see international bankers repossessing nearly every tangible asset in the US? And is that the goal?

"A Fiscal Train Wreak," Paul Krugman, New York Times, March 11, 2003