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Tag Archives: Bubble
Robert Murphy on the Double Dip
I’d like to come to Murphy’s defense regarding inflation and offer some points on the possibility of a double-dip. For the time being, I predict a continuation of the upward inflationary trend. We are seeing a greater destruction than production of wealth, as it flattens the structure of production. This is a trend towards impoverishment, not recovery, and does indicate the possibility of an increase in the rate of change of CPI. Continue reading
Posted in Uncategorized
Tagged Bubble, consumer, debt, Depression, dip, double, expenditure, Great, index, inflation, Investment, price, Private, production, public, Recession, stagflation
2 Comments
Gold Standard, Not God Standard
An increase in gold specie can cause a business cycle. Continue reading
Chinese Trade Deficit
China’s March trade deficit is a direct result of their inflationary policy, not of any changes in manipulation of the yuan. The effects of impoverished manufacturers is finally being seen. Continue reading
Posted in Current Events
Tagged Bubble, China, deficit, dollar, economy, inflation, manufacturers, mercantilism, trade, weak, yuan
1 Comment
Garet Garrett’s Invaluable Lesson
Garet Garrett warned of uncontrolled public debt in 1931, and still the lesson has yet to be heeded. A crisis of interventionism, as termed by Ludwig von Mises, is fast approaching. Continue reading
Bubble Economics
A comment on Paul Krugman’s post on the housing market, interest rates and Ben Bernanke. By looking at irrelevant statistics one does nothing to avert future crises of the same nature—credit bubbles do not only form in housing. Continue reading
China’s Bubble Economy Re-Appears
China’s economic growth is turning out to be just another financial bubble ready to pop. The lesson is clear: monetary expansion causes economic instability. This bursts two theoretical bubbles: one, that instability is inherent in global capital markets, and two, that we are preparing to lift out of recession. Continue reading
Posted in Current Events
Tagged assets, banking, Bubble, central, China, commodities, economy, Expansion, fractional, monetary, reserves
2 Comments
Consumer Credit and the Theory of the Cycle
Economist Jesús Huerta de Soto explains the role of consumer credit in the formation of the business cycle, in accordance with the Austrian theory. From his book, “Money, Bank Credit and Economic Cycles”. Continue reading
Lending Regulation is Counterproductive
The mainstream has pointed its finger on the apparent lack of regulation, and therefore calls for an increase in regulation on lending for the purpose of selling houses. These regulations will make the accumulation of wealth that much more difficult. We are being condemned to a road to serfdom Continue reading
Roots of Inflation
On 21 July 2009, Chairman of the Federal Reserve Ben Bernanke defended himself from Ron Paul’s accusations of promoting inflation by defining inflation as an increase in the consumer price index. hrough this definition, Bernanke purported to refute Ron Paul’s own definition—Austrian definition—that inflation referred to an increase in the money supply. Ron Paul’s definition of inflation is, in fact, the most accurate definition of the word. Continue reading
Krugman on the bubble
Krugman did see the housing bubble, but failed to understand it. Continue reading →