Very interesting article today on Bloomberg suggesting Fed stimulus is less effective than intended because of increasing investment in software

Very interesting article today on Bloomberg suggesting Fed stimulus is less effective than intended because of increasing investment in software. One of the goals of QE is to keep rates as low as possible to spark business investment in capital goods such as equipment and factories. This sort of investment typically create jobs. However, many businesses are spending instead on software upgrades to improve efficiency. While these improvements are good for the company, they generally don't lead to new jobs - it may even lead to fewer jobs. While this is an intriguing point, I think there's more to it. QE is also supposed to inflate asset prices to create a wealth effect which is beneficial to the economy. While QE may not have led to robust job growth, it's certainly done its part in driving asset prices higher. (VIEW LINK)