Booms and Busts

What a warped view of how the market economy works, to think that savings and foreign investment can cripple an economy.

Incessant creation of fiat money by government central banks will serve to engender more speculative booms to lure investors into financial ruin.

The German hyperinflation was the result of a policy that considered the financing of government debt by an accelerating increase in the money stoc

Robert Murphy demonstrates in this excellent book a penetrating ability to explain the essence of fallacious economic doctrines. As he notes, three theories offer competing explanations of the Great Depression

Falling prices, far from being deflation, are actually the antidote to deflation.

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.

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.