Monetary Theory

Remember the flight to "safety" into T-bills and T-bonds? Most people fled from hard assets. These are the victims. They believed the propaganda of the establishment.

Any audit that exposes the Fed's relationship to the state will be worth doing, even if the Fed's friends keep it where it is.

As things stand, central banks' monetizing government debt is presumably the way forward for producing inflation — which is, and must be, defined as a rise in the money stock.

The entrepreneur takes calculated risks, and typically "builds" using the carpenter's rule: measure twice, cut once. If it does not make financial sense to build, the entrepreneur will not do so. In addition, the entrepreneur would later know — through the profit-and-loss mechanism — whether such a decision was prudent or foolish.

Artificial credit created by a deceptively low rate of interest leads to speculative bubbles.

Krugman. 2002. Calling for a housing bubble.

Suppose in 2007 you were handed a piece of paper and a pencil, and were asked, "Come up with a list of bullet points for how to generate severe stagflation in the years 2010 through 2019."

Wouldn't your list look pretty similar to what has already happened?

Austrian economists are not fooled, because they reject the idea of empirical data in the validation of theory in the social sciences.

"Such aggregates have little meaning, as all human action consists of striving for individual goals."

The usually sensible Larry White recently blogged a silly and petty comment on Hans Hoppe's Mises Daily Article "The Yield from Money Held' Reconsidered".