Anatomy of the Bank Run
It would be instructive to see how many banks would survive if the massive governmental props were finally taken away.
It would be instructive to see how many banks would survive if the massive governmental props were finally taken away.
Karl Marx portrayed a horrifying and violent state of society which is allegedly necessary "to reduce all to a common level."
Mises in 1926: Public opinion always wants "easy money," that is, low interest rates. But it is the very function of the note-issuing bank to resist such demands, protecting its own solvency.
Bentham began as a devoted Smithian, but over time he became more and more statist.
The Communist Manifesto pushed a heavily progressive income tax as one of ten key ways to undermine the market order. Unfortunately, the idea didn't die with Marx.
Murray N. Rothbard slices his way through ten of the most common value-based calumnies against the market economy. An excerpt from Man, Economy, and State, with Power and Market.
According to Galiani, interest equalizes present and future money. It is a means to compensate for the palpitations of the heart that a creditor must endure until the money is returned.
The whole system of priorities, allocations, quotas, and licenses causes endless delays, keeps efficient concerns from expanding, and keeps inefficient concerns in business.
"It is surely folly to say that government must socialize all property in order to prevent anyone from stealing property. Yet the reasoning behind abolition of private coinage is the same."
In an unhampered market, profit and loss are entirely determined by the success or failure of the entrepreneur to adjust production to the demand of the consumers.