Inflation

The state and its friends reject the scarcity principle and uphold its polar opposite, the Santa Claus principle.

The Fed lowers interest rates ostensibly to “stimulate” the economy. But while the Fed claims it is strengthening the economy, it actually weakens it through its easy-money policies.

The Federal Reserve continues to be the not-so-silent partner to the government's reckless deficit spending scheme. While the Fed tries to force down interest, US bond yields are rising, as the markets recognize these bifurcated policies.

The Federal Reserve says it can manipulate the money supply to ensure “price stability.” This worsens the boom-bust cycles and undermines the economy.

Capitalism is characterized by the private ownership of capital, coming from Lockean homesteading principles, and not from state coercion and force.

In his failed 1896 presidential campaign, inflationist William Jennings Bryan declared that he would “not crucify mankind on a cross of gold.” But at least even Bryan favored silver money. Today‘s political candidates will crucify us on a cross of paper.

Nicolaus Copernicus is best known for his observation that the sun was at the center of our solar system, but he also made a number of astute observations about economics. 

We have reached this point: the government keepers of money do not even understand what money is or why inflation is harmful. To them, the real threat to the economy is “deflation.”

Long before there was Alan Greenspan to turn the Federal Reserve into Casino Central, there was John Law, France's minister of finance.

While most of us are familiar with Gresham‘s Law, we should remember that it does not mean that bad money is preferred to good money. Instead, it refers to a situation in which government mandates that inferior and superior money legally have the same face value.