Monetary Policy

Modern Monetary Theory is a perfect example of, “Do as I say, not as you do,” rather than, “Do as I say, not as I do.” MMT rightly points out some hypocrisy, but wants to replace it with more hypocrisy.

Elon Musk‘s latest comments on money make the same errors as we saw with Milton Friedman and the Monetarists. If Musk really wants to understand money, he needs to read Murray Rothbard and Ludwig von Mises.

If President Trump is looking for a federal agency to abolish, he needs to look no further than the misnamed Consumer Financial Protection Bureau.

One of the fallacies pushed by monetary economists is that a growing economy needs a growing supply of money in order to prevent deflation, which they claim is as harmful as inflation. However, as Austrians point out, there is no “optimum” amount of money in the economy, since prices adjust.

President-elect Donald Trump has declared that he will raise tariffs his first day in office. Our economy, however, does not need government-created roadblocks to trade. Instead, we need free exchange and sound money.

The child-like obsession with buying stuff that American society is often criticized for around Christmas is a sought-after result of our government’s monetary policy.

Bob analyzes President Trump's recent remarks praising the revenue capacity of tariffs. 

It‘s obvious that a new influx of money will not immediately bring about changes in enough prices to significantly alter a price index. Even so, there are immediate effects of the new money.

Mainstream economists define “inflation” as general increases in consumer and producer prices. Yet, such a definition misses why prices increase in the first place and why inflation should be described as an artificial increase in the money supply.

I have long argued that Austrian economics should be developed not as an alternative to the current academic discipline of economics but as a replacement for it.