Monthly Archives: August 2009
As some of you are well aware, I was explaining how Bush and the Fed were creating the conditions for an inevitable economic bust throughout the mid-2000s, specifically identifying Bush’s unsustainable Keynesian policies, Bush’s Keynesian advisers, and Bernanke’s flawed arguments … Continue reading
From economist Kenneth Rogoff: The overwhelming consensus in the policy community is that if only the government had bailed out Lehman, the whole thing would have been a hiccup and not a heart attack. Famous investors and leading policymakers alike … Continue reading
Arnold Kling learned his macroeconomics from the same folks who trained Paul Krugman. Kling’s response is somewhat different. Kling has determined that the old “mainstream” macro is pseudo-scientific junk, and he’s happily dumped it in the garbage can of bad … Continue reading
There’s the famous tin story. There’s the famous pencil story. Now — joining the pantheon of divided knowledge economics — make way for the Cuban toilet paper story.
Just to set the record straight, I’d like to point out that Friedrich Hayek was well aware of the problem of the sort of “secondary” deflation which often occurs after the onset of an economic bust made inevitable by a … Continue reading