Mr Rosser said that while public sector cuts could mean opportunities for the private sector it would be wrong for any one in business to speak with a note of triumphalism.

BBC: Wales 'more vulnerable to public spending cuts'

But it was also a dismal failure, showing an additional 131, 000 jobs were lost in July, and only 71, 000 new jobs were created in the private sector versus forecasts of 100, 000, while the new private sector jobs previously reported for June were revised down sharply from 81, 000 to only 31, 000.

FORBES: Sorry Bernanke, Looks Like Recession Round Two Is On The Way

Since the Fed insists its acquisition of mortgages has simply been a temporary measure, Stiglitz predicts the rates will ultimately go up for the private sector while the value goes down, creating loss.

FORBES: What If Joseph Stiglitz Ran The Fed?