Warren Buffett’s father Howard (an anti-New Deal and anti-interventionist Congressman) wrote to Murray Rothbard in 1962 about sending some of Murray’s books to his son. Judging from Warren’s recent comments, it seems the books were lost in the mail. So Mark Thornton has sent this care package to the billionaire investor.
Frank Shostak says NO!. See:
Should the Fed Reverse Its loose Stance
Some Highlights:
Contrary to popular thinking, loose monetary policy, which leads to a misallocation of resources, weakens the economy’s ability to generate final goods and services, i.e. real wealth.
This means that loose monetary policy not only cannot provide support to the economy but on the contrary undermines the foundations for economic growth.
[Excerpted from Theory of Money and Fiduciary Media edited by Jörg Guido Hülsmann, which celebrates the centennial of the great work by Ludwig von Mises, known in English-speaking countries as The Theory of Money and Credit.]
From the Introduction to the Fourth Edition (1982) of America’s Great Depression
While deficits are often inflationary and always pernicious, curing them by raising taxes is equivalent to curing an illness by shooting the patient. In the first place, politically higher taxes will simply give the government more money to spend, so that expenditures and therefore deficits are likely to rise still further. Cutting taxes, on the other hand, puts great political pressure on Congress and the administration to follow suit by cutting spending.
And:
This is according to Austrian economist G.P. Manish, paraphrasing the great economist W.H. Hutt, as he explains Keynesianism and Austrian Business Cycle Theory in an excellent interview with Tom Woods.
[Excerpted from Theory of Money and Fiduciary Media edited by Jörg Guido Hülsmann, which celebrates the centennial of the great work by Ludwig von Mises, known in English-speaking countries as The Theory of Money and Credit.]
In response to my Mises Daily last week on The International War on Cash, a reader recounted the following incident in an email:
“Robert Morris’s nationalist vision was not confined to a strong central government, the power of the federal government to tax, and a massive pubic debt fastened permanently upon the taxpayers. Shortly after he assumed total economic power in Congress in the spring of 1781, Morris introduced a bill to create . . . the first central bank . . . the Bank of North America . .. modeled after the Bank of England.”
–Murray Rothbard, A History of Money and Banking in the United States
Paul Krugman is touting a new IMF study which claims that “austerity” increases the National Debt/GDP ratio. The study’s finding is that budget cuts in high debt countries leads to more borrowing because of shortfalls in GDP and tax revenues. This result hinges on the impact of fiscal multipliers.
