Money and Banks

Back in January, ECB President Mario Draghi doubled down on his earlier commitment to do "whatever it takes" to prop up the European economy with easy money. He wasn't joking.

While the declining trend growth in money supply is bad news for bubbles, it is actually great news for wealth generators.

In a remarkable TV interview, Otmar Issing, the former Chief Economist of the European Central Bank and a former member of its Board, dismisses negative interest rates as a solution to what ails Europe.

The BIS has just released a research report questioning whether negative interest rates are effective in achieving policymakers' goals of staving off a (phantom) deflation without adversely impacting the financial sector and the overall economy.

Putting an end to inflation requires not only the abolition of the Fed but also the abolition of the FDIC and FSLIC.

Murray Rothbard would have turned 90 years old on Wednesday, and his contributions to economics have never been more relevant. Rothbard’s uncompromising assault on the state has made him one of the rare scholars to see his influence grow, even after his passing.

Taxes usually aren't terribly popular with the people who pay the taxes. Fortunately — from the government's perspective — the central bank is there to help tax the people more without their noticing.

It is high time to turn to Rothbard in the search for advice. His recipe for dealing with depressions and how to avoid turning a recession into a depression is of timeless relevance.

Dissatisfaction with the Fed appears to have gone mainstream, and this may increase if the Fed descends into negative interest rate policies. But, as always, a sound understanding of economics is key.

Bernie Sanders says he wants to reform the Fed, but Bernie's wrongheaded views on Fed policy demonstrate why it's important to oppose the Fed for the right reasons.