Monetary Theory

Monetary authorities and monetary economists try to define money without understanding what money really is: a medium of exchange.

Sponsored by Wilfried and Barbara Puscher.

Andreas Granath joins Bob to discuss his recent article explaining the different definitions of "inflation" and why it matters.

The common belief is that inflation is the general rise in consumer prices. However, rising prices are a symptom of inflation, which really is expansion of the money supply.

Alex Pollock explains to Bob the mechanics of the Fed's current insolvency and its implications for ordinary Americans.

Social democrats are so desperate to cast off limits on government that they'll embrace anything that justifies their ambitions. So they invent theories of money that are very, very wrong.  

Social democrats are so desperate to cast off limits on government that they'll embrace anything that justifies their ambitions. So they invent theories of money that are very, very wrong.  

"We would not expect money to be paper, national, or under the control of any entity."

The following reading is chapter 2 of What Has Government Done to Our Money? by Murray Rothbard.

MMT champion Warren Mosler claims that Fed rate hikes lead to larger government interest expenses and hence support economic growth and inflation. Bob presents both theoretical and empirical evidence against Mosler's claims.