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Achilles, hero of the Trojan War and central character of Homer's Iliad, was killed by a poisoned arrow discharged at him by Paris and guided by Apollo to his heel. Achilles had previously offended Apollo by his hubristic killing of Troilus inside Apollo's temple. Achilles' death was divine retribution, inevitable, predicted by his mother Thetis and by Hector with his dying breath.
What does Greek mythology have to do with today's economic situation? According to Ben Bernanke and many quantitatively skilled economists, probably nothing. According to the Austrian School of Economics however, quite a lot. In the realm of Austrian Economics, a boom is always followed by a bust as surely as is Achilles' slaying of Troilus followed by Achilles' death, as is hubris followed by catharsis, pride by a fall, and crime by punishment. This sequence is an irrefutable law of nature which also applies to an economy. Excessive credit creation is hubris, a trespass against natural order, and is destined to end in catharsis, i.e. in an economic bust.
Achilles should already have died in the second half of the 1990s. However, Alan Greenspan dodged the first arrow to Achilles' heel by excessive credit creation and by nurturing a stock market bubble. The second arrow to Achilles' heel was shot in 2001. It was again deflected by a further increase in credit and another bubble, this time in housing. The third arrow was shot last year. Achilles' death from the third arrow would be cruel, as Apollo is foaming because of mortal interference in divine destiny. However, Achilles' death now might still be child's play compared to the violent bloodbath that would follow if Achilles is saved a third time and the irate Apollo has to launch a fourth arrow.
Apollo's increasing wrath does not prevent US monetary and fiscal authorities to try to save Achilles once more from his destiny. If Greek mythology is any guide, though, their efforts are in vain. Achilles must die. Saving Achilles from this arrow only delays fate and ensures that his eventual death will be all the more gruesome.