Booms and Busts

The job applications pour in by the buckets, all padded with degrees and made to look as impressive as possible. It’s all just paper.

Instead of addressing the Depression though the proven expedient of private-bank-issued scrip, the Roosevelt administration's plan involved suspension of the gold standard, followed by devaluation and the abrogation of the gold clause, cartelization of the banks of the country, the National Recovery Act, the Wagner Act, the alphabet-soup agencies, Social Security, and the beginning of an ever-expanding government.

Keynesianism ignores the fact that government spending must come either from tax dollars or from the printing presses, both of which harm the common man. Instead, Keynesianism promises that we can all pick one another's pockets — and all get rich doing it!

In the real world, of course, the real danger of credit expansion and the boom-bust cycle comes from fiat money and fractional-reserve banking.

The beginning of a new credit expansion runs across remainders of preceding malinvestment and malemployment, not yet obliterated in the course of t

Governments have caused the monetary and economic debacle by taking control of money production.

"Refusing to accept wage reductions, workers must accept unemployment."

People rebel against the insight that the malinvestment and overconsumption of the boom period are the cause of the bust.

From Part I of A History of Money and Banking in the United States: The Colonial Era to World War II: “The History of Money and Bank

"The discount of future goods as against present goods is a necessary and eternal category of human action."