On the substance, excessively low interest rates were certainly a contributing factor in the boom-bust cycle but a lot of other things went wrong also. The piece you cite on interest rates as the cause of the crisis is by John Taylor, who (not surprisingly) recommends that they should have followed his interest rate rule and had higher rates during 2003-05.

The Taylor rule is now calling for interest rates to go negative.
http://krugman.blogs.nytimes.com/2009/01/17/zero-lower-bound-blogging/

Similarly, falling prices remain the bogeyman of the economic establishment.

Suffice to say stimulating consumption is a ridiculous idea, precisely because a recession reveals a lack of real savings. And slashing interest rates when that was precisely the cause of the crisis is even crazier.

http://www.rgemonitor.com/roubini-monitor/255995/reflections_on_the_latest_dead_cat_bounce_or_bear_market_suckers_rally

The markets need time, not more poison.

http://mises.org/story/3382

However, the concerns of Christof Schmidt and others focus on the medium-term: once the Fed has put all of these programs in pace, will they withdraw them with equal alacrity once the economy and markets show signs of righting themselves. That is doubtful, for three reasons: 1) they’ll be in so deep that extricating themselves will risk upsetting the apple cart in a big way, 2) if they throw all of their efforts into preventing deflation, they can almost certainly do it, as per the helicopter analogy. But all this means is that we won’t get deflation, we’ll get…something else. Ergo, just by the way that they are working to lop off the left tail of the distribution, inflationary risks are rising, given lack of policy omniscience, 3) evidence from the last easing cycle is discouraging, as the Fed kept rates way too low for way too long, contributing hugely to the problems before us today.

John McHale: fortunate to have Bernanke? let’s see: the movie’s not over yet. That’s what people said about Greenspan, and look where that got us.

The FT has been reporting that auctions on the T-bond floor have been increasingly nervous affairs, and demand from overseas buyers has pretty much dried up. But there’s still one buyer of T-notes who doesn’t mind a high risk of (inflationary) default: Helicopter Ben. After all, it’s just Monopoly money to him.

For those still convinced that this fiscal stimulus madness is the right approach, ask yourselves this: What is the strategy to employ if the stimulus measures don’t work? When does Obama begin reigning in inflation and spending if, in 2010, 11, 12, the US economy is still underpreforming?

What exactly is the exit strategy for kickstarting a dead horse that refuses to gallop?

You can’t solve the problem of inflation and low interest rates with *more* inflation and *lower* interest rates.

So the race to see who will be the worst Fed Chairman continues.