The Trillion Dollar Coin

There has been much buzz in the past few days about a truly horrible idea.  Instead of having to negotiate with Congress to raise the debt ceiling so the Treasury Department can sell more bonds to pay for more spending, why not just mint a trillion-dollar platinum coin?  This coin would contain one ounce of [...]

EmailPrintFriendlyShare

Macro Claus Wishing You A Merry Christmas

This wonderful video was produced by John Papola who produced the Fight of the Century (Hayek v. Keynes) videos with Russ Roberts. Here he gives us a Christmas gift on the fallacy of consumption as the road to wealth and prosperity. Enjoy!

[...]

EmailPrintFriendlyShare

Fraud: Why The Great Recession

Free markets are not to be blamed for the Great Recession. On the contrary, its origins rest upon the deep government and central bank intervention in the economy. Through fraudulent mechanisms, this causes recurrent boom and bust cycles: bad policies create phases of irrational exuberance, which are then followed by economic recessions, a result [...]

EmailPrintFriendlyShare

An “Austrian” In China

This is a fascinating article from the Wall Street Journal about one of China’s leading economists, Zhang Weiying, who is an adherent of Austrian theory economics. It gives you some insight into what he calls the black box of Chinese politics. But, he says he “is optimistic because he thinks 30 [...]

EmailPrintFriendlyShare

“The Bubble”

This may prove to be the best documentary to come out of the Crash of ’08. It is written by Tom Woods of the Mises Institute and is based on his best seller, Meltdown. Look for it. I’ll keep you informed when it will be released. Here is the trailer.

[...]

EmailPrintFriendlyShare

Global Economic Decline Is Here, Now

Today’s U.S. manufacturing report is at the top of a mountain of bad economic news coming out. Whether these data will lead to a “new” recession (as defined by the NBER) remains to be seen, but at the very least the U.S. economy is stagnating, and it is likely to remain that way for some [...]

EmailPrintFriendlyShare

“The Great Abdication” — Of Responsibility

Krugman-in-Wonderland

Perhaps the most constant theme in Paul Krugman’s recent columns has been his unwavering belief that the only way out of this depression is for governments to borrow and spend, and for central banks to inflate. He continues to beat the old drum that (1) there is not enough regulation of business, (2) [...]

EmailPrintFriendlyShare

Egos and Economists Who Yearn for the Nonexistent Past

Krugman-in-Wonderland

Not only does Obama’s Shill-in-Chief Paul Krugman have economics wrong, he has economic history wrong as well.

One of the constant themes of Paul Krugman’s writings these days, other than shilling for Barack Obama and Democrats in general, is the walk down memory lane to the nation’s idyllic past where tightly-regulated industries [...]

EmailPrintFriendlyShare

The Austrians And The Swan: Birds of a Different Feather

This article was written by Mark Spitznagel, the founder, owner, and Chief Investment Officer of Universa Investments, LP, a $6 billion hedge fund located in Santa Monica, California. Mark is a student of Austrian economic theory and uses those ideas in his investment strategy. This paper originally appeared on Universa’s site [...]

EmailPrintFriendlyShare

The Bernanke Bust: The Why How And When

This article is from Michael Pollaro’s The Contrarian Take, the best blog on money supply. Michael measures True (“Austrian”) Money Supply (TMS) each month as the data comes out and provides meaningful measures and interpretations of the data. I urge you to visit his site for his data and his excellent explanation [...]

EmailPrintFriendlyShare

“Disappointing” Employment And Manufacturing Data

What kind of economic theory is one in which economists look at data from a past period of time (say, one month, or two months, or …) and conclude that the next period will be the same? That is the “theory” on which almost all economics rely on. So, today, when ADP reported employment gains [...]

EmailPrintFriendlyShare