Prices

People often react to sudden price changes by demanding that government "do something" to bring prices down. It is important to understand the mentality behind such beliefs.

Modern portfolio theory, while popular with many economists, runs into serious problems when examined through the lens of Austrian economics

"Under socialism production is entirely directed by the orders of the central board. The whole nation is an 'industrial army' and each citizen is bound to obey his superior's orders."

The market economy as a field of liberty, spontaneity, and free coordination cannot thrive in a social system that is the very opposite.

Tulipmania—the famous bubble in tulip prices in the Dutch Republic—cannot be explained by studying the "fundamentals of the tulip market." The answer lies in manipulation of the financial sector.

The aim of the law should not be to constrict but to maximize price freedom and market freedom.

In that epoch of virtually unchallenged Keynesian ascendancy, Hutt's work was a beacon for those who defended the truth that economics is about the choices and actions of real human beings.

Once public opinion is convinced that the increase in prices will continue, everybody becomes eager to buy as much as possible and to restrict his cash holding to a minimum size. 

The "price" or purchasing power of money is the array of goods and services for which a unit of money can be exchanged.

In the case of both athlete and teacher, the rarity of the skill and the number of people who benefit from the individual determines how much they're paid.