Once upon a time, American firms built with the long term in view, and the government did not try to hinder them. Today, thanks to reckless federal government spending, we are living hand-to-mouth, accumulating massive debts, and soon enough will be broke.
While J.M. Keynes likely is the most influential economist of our age, his economics were that of inflation, statism, and outright central planning.
Once upon a time, American firms built with the long term in view, and the government did not try to hinder them. Today, thanks to reckless federal government spending, we are living hand-to-mouth, accumulating massive debts, and soon enough will be broke.
Milton Friedman and the Monetarists believed that fluctuations in the money supply caused the boom-and-bust business cycles. Their solution—keeping money growth slow and steady—would still lead to business cycles.
A long-enduring myth about money is that we need a flexible or "elastic" currency for the economy to grow. Economist Jonathan Newman joins us to talk about why this has never been true.
According to mainstream economists, inflation aids economic growth while deflation impairs growth. Austrian economists, however, point out that in much of US history, economic growth was accompanied by deflation.
Through its coercive monopoly over money creation, government constantly engages in silent theft through inflation, all done in the name of “stimulating” the economy.
According to mainstream economists, inflation aids economic growth while deflation impairs growth. Austrian economists, however, point out that in much of US history, economic growth was accompanied by deflation.
The political establishment is trying to stoke panic that Trump is “politicizing” the Federal Reserve. But it’s already political. The real danger, from their perspective, is not that Trump is changing the Fed; it’s that he’s making its true nature harder to hide.
Mainstream economists have justified the creation of the Federal Reserve because they claim that a growing economy—especially the banking system—needs an “elastic” currency. In other words, the economy “needs” at least some inflation. Austrian economists know better.
