Mises Daily
Author:
Mark Thornton
Online Publish Date:
recommends the smallest possible response when it comes to monetary and fiscal policy. Unfortunately, while RBC theory can provide a pretty good explanation in while it is “real,” it does not really help us understand reality. However, its policy implications for an economic downturn are correct, which is essentially to do and products. The Housing Bubble was linked to “subprime” and related financial innovations. The “tech” or dot.com bubble of the late 1990s, the Japanese Bubble of