Financial Markets

Forget Modern Portfolio Theory: investing in stocks is just like investing in a business, says Frank Shostak.

The Austrian Theory has come under fire; Gene Callahan responds in defense.

Those unfamiliar with Wall Street are naturally skeptical of this business of short selling. How can one sell what one doesn't own? Some may remember Daniel Drew's clever ditty "He who sells what isn't his'n must buy it back or go to pris'n." Interestingly enough, Drew was himself a famous short seller.

Roger Garrison answers the question: why does news of strong economic growth often precipitate a fall in stock prices? 

Neither the Fed nor Wall Street can undo the ill effects of past monetary expansions, says Frank Shostak.

The meltdown on Wall Street can't be corrected through intervention; if it is headed down further, it needs to run its course.

A stock price is not an objective rendering of value, but merely an opinion about the present and future worth of a company--and opinions can be wrong. 

The Prime Minister's statist, inflationist program isn't saving the country; it is preparing the way for yet another crash. 

It's traduced in normal times and blamed for every economic crisis, but speculation has an important role to play in the market economy. (Article by Christopher Mayer)  

Robert Mundell's economics, both praised and criticized from an Austrian perspective. (Comments from scholars)