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.
Unfortunately Obama's Road to Serfdom is not fiction and no laughing matter.
"If there is any hope for our economic future, we must come to a sound understanding of what got us here."
If it doesn't work to boost your professional life, you can always count on looking fantastic when you march on the White House and protest against its occupants for robbing you blind in the name of saving you.
Schumpeter went on to remind the audience that the heart of the capitalist process was its endless dynamism, which was the opposite of Keynesian stagnationism.
