The worldwide turbulence of recent days is a strong indication that government intervention alone cannot restore the economy and offers a glimpse of the risk of completely depending on it. It is time to give the free market a chance.

Since the crash of 2008, governments have tried to stimulate their economies by a variety of means but have relied heavily on manipulating interest rates lower through one form or other of quantitative easing or simply printing money. The immediate rescue of the collapsing economy was necessary at the time, but the manipulation has now gone on for nearly seven years and has produced many unwanted consequences.

It has exacerbated the inequality of income around the world. Money has been artificially allocated by the abnormally low rates to reward speculation and to discourage savings and longer-term investments that produce real economic and employment growth.

The Federal Reserve, waiting for signs of inflation to change its policies, seems to be looking at the wrong data. Actually its policies have been highly effective in the areas stimulated most heavily, but the low interest rate policies have not stimulated the broad economy or made most people better off. In fact, it may have actually hurt those people.