Money and Banks

The demand for goods is not constrained by the amount of money, but by the production of goods and services available to trade for money.

If the small sample size of monetary history is any guide, the combination of asset market crashes and high goods inflation empowers sound money forces in the political arena. At the moment, neither of those factors are in play.

The US's enthusiasm for sanctions means Europe is learning the price of doing business with the United States and with the dollar.  They're now developing new ways to work around the the US-dominated financial system.

Sweden launched its failed negative rate plan almost five years ago and now reverses it due to the financial risks that are created.

Even if the central bank policymakers could implement policies without error, Milton Friedman’s and Robert Lucas’s monetary schemes could not secure stable economic growth.

Dr. Bob Murphy introduces an upcoming e-book on the mechanics of the Fed.

The mainstream National Bureau of Economic Research definition of recessions is of little value. Real saving, not consumer demand, is the real driver behind economic growth.

As money loses its purchasing power, income and wealth are stealthily redistributed. Some individuals and groups of people are enriched at the expense of others.

Our monetary system, combined with interventionist state policies, causes mass overconsumption, the destruction of wealth, capital consumption, and the destruction of nature. 

Mr. Volcker certainly deserves credit for curbing the Great Inflation of the 1970s. However, he also merits a lion’s share of the blame for unleashing the Great Inflation on the US and the world economy in the first place.