Post Tagged with: "Austrian Economics"
[PREMIUM] The Ultimate QE is the Fed’s Coming Purchase of Real Assets
I would bet on near-systemic collapse before the Fed starts either asset purchases or Congress resorts to fiscal activism. But eventually, the Fed is going to purchase more than just treasuries. They will purchase a lot of financial assets and probably some real assets as well
On Ideology, economics and the compatibility of Chartalists and Austrians
Below is a framework that delineates the ideology and economics of two groups of economic thought that are much talked about in the wake of the Credit Crisis: the Chartalists and the Austrians. These two groups are considered outside of the mainstream and this is important because many economists and market pundits in both camps predicted the global credit crisis while almost no mainstream economists did. The questions are why and what separates them from mainstream Keynesians and Monetarists and from each other
Austrians and MMTers should be on the same side
Austrians and MMTers should be on the same side. After all, both camps understand the relationship between money and credit, and both understand the full ramifications of having fiat money. They should be on the same side arguing against economists who argue that demand can be created by flooding the banking system with reserves, and both should be on the same side arguing against those who think that increasing inflation expectations is an effective way to get an already over-indebted economy to take on more debt
Fight of the Century: Keynes vs Hayek Round Two
These Hayek – Keynes videos are hilarious (hat tip Barry Ritholtz). This one is called “Fight of the Century” – sort of like Marvelous Marvin Hagler against Sugar Ray Leonard
Lawrence White on Friedrich von Hayek
I caught this video along with the Keynes video I just profiled. Look at this as a rebuttal to some of the themes Lord Skidelsky went through in that previous video. Lawrence White explains the genesis of the Austrian Theory of Boom and Bust in two parts. The two run fifteen minutes in total, concentrating
The Conundrum of Central Bankers
by Annaly Capital Management An interesting recent piece by Reuven Glick and Kevin J. Lansing of the San Francisco Fed looks to explain changes in the savings rate over time. On an aggregate level, the authors point out that the savings rate is mostly a function of: 1. Wealth – if I’m already wealthy, I
Why the U.S. economy is weak
My friend Rob Parenteau says "most professional investors are high frequency macro data and short run asset price driven." He basically means they have no real macro analytical framework to use when making investment decisions. Rob says "it is just a video game for them, where they trace and extrapolate the recent momentum." Rob is
David Tice Says Double-Dip Recession ‘In the Cards’ for U.S.
David Tice, chief portfolio strategist for bear markets at Federated Investors Inc, talks about the outlook for the U.S. economy. He sees a double dip coming and argues against stimulus to prevent it, saying policy makers shouldn’t act as “Good Time Charlie” preventing the deleveraging of U.S. households
On Crises of Capitalism
Great video detailing explanations for why the financial crisis happened. Big hat tip to the Pragmatic Capitalist. I like this first aspect of the video and I LOVE the drawings. Very cool. Of course, you know that you’re going to get another view which the author of the video says is the right one. He
Why Stimulus Is No Panacea
I fully support deficit spending as a means to prevent a debt deflationary spiral in a deep downturn. However, there are limits to what stimulus can actually do. Stimulus is no panacea for an unbalanced economy. In particular, when large imbalances build up, deficit spending is limited and can actually perpetuate the existing imbalances and
The Stimulants and the Austerians and the War on Double Dips
This week I have decided to do the weekly review both as a links post and in narrative form. I have already posted the links of the most-read articles (see them here). In this weekly review narrative, I want to discuss the never-ending double dip narrative in the US from a different angle than last
A Speech: “Chairman Greenspan: A Fiat Mind for a Fiat Age”
Frederick Sheehan is the author of Panderer to Power: The Untold Story of How Alan Greenspan Enriched Wall Street and Left a Legacy of Recession (McGraw-Hill, 2009). A speech delivered at the Ludwig von Mises Institute Conference: "Austrian Economics and the Financial Markets," held at the University Club in New York City, May 22, 2010.