Instead of facing the truth and permitting not only the malinvestments to fail, but a real recovery to take shape, Obama, Krugman, and their allies are insisting that all this "perpetual motion machine" known as an economy needs is a little more spending to lubricate the gears and send it on its merry way.
Rothbard was the first to fully integrate economic science, moral philosophy, and political theory in a unified theory of liberty.
A full-blown bailout of the banks responsible for making bad loans will only further an economic system of private profits and socialized losses.
The oft-used cliché in response to harsh criticisms of the country or its government is "If you don't like it, you can leave." Republicans made it much more difficult for disgruntled citizens to follow this advice; it is time to repeal this profligate legislation.
Rothbard has been proven correct. Mathematical modeling has revealed itself to be a vain and formalistic exercise incapable of explaining the international currency crises, stock-market and real-estate bubbles, or the global financial crises that have racked our world in the past two decades.
The correct road to recovery is the path to a "free and prosperous commonwealth."
Brad DeLong and Paul Krugman continue to mock the Austrian explanation for the business cycle, but their ridicule is based on their own deficient model of the economy's capital structure.
Contrary to Greenspan, we can conclude that it is not long-term rates as such that fueled the bubble but the loose monetary policy of the Fed.
In the same way, the path to economic recovery is to allow markets to channel specialized resources to their highest-valued uses, not to dump taxpayer funds on whatever firms and industries happen to be ready for them — or politically connected.
We must make them realize what they owe to the much vilified "economic freedom," the system of free enterprise and capitalism.
