“Inflation, Here is Thy Sting”

– December 20, 2010

“The sting of inflation is showing up in the emerging market economies, where rising food prices are stinging the consumer. (Oh sorry I forgot, food inflation isn’t inflation!) China has a de facto USD peg and that policy means that, in the absence of …

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“Beware of a China Bubble”

– December 10, 2010

“After QE2, analysts were looking for possible consequences of the Federal Reserve Bank’s actions. What has become apparent is that the Fed has created another bubble in China. Investors globally have transferred devalued US dollars and euros to buy Ch …

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“Can the Fed Become Insolvent?”

– December 1, 2010

“In light of Bernanke’s plans to purchase $600 billion of longer-term government debt, many academic economists are beginning to worry: Could the Federal Reserve itself become insolvent? In this article I’ll explain these fears and I’ll argue that the …

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“Here’s Why the Fed Plan Is Failing: We’re All Austrians Now” – CNBC

– November 24, 2010

“We may all be Austrians now. Not since the New Deal has Austrian economics enjoyed the political popularity it does now. Austrian economists are awfully popular with the Republican Party, especially its Tea Party wing. Peter Schiff, the Austrian econo …

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“Bust Cycles and the Fed”

– November 24, 2010

“In 2003, the Federal Reserve Bank lowered the Fed funds rate down to 1.25%. This was the lowest level that the Fed funds rate had been since 1954. Again, the low interest rate gave birth to the housing and credit boom. This rally or boom cycle lasted …

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“The Federal Reserve to report this week they are slashing growth projections”

– November 22, 2010

“The Fed has access to some of the best economists and analysts in the world, yet they still cannot make correct determinations on the state of the economy. In 2008, they continuously said we weren’t in a recession, and there would be no recession. The …

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“Fed’s Plosser Says Understanding Crisis May Take 50 Years”

– November 17, 2010

““It will be at least 50 years before we really understand very well what happened in 2008-2009, and we will be interpreting for another 50 years as to whether the Federal Reserve undertook the right policies or the wrong policies,” Plosser said today …

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“Has the Fed Been a Failure?” – Selgin, Lastrapes and White

– November 12, 2010

“As the one-hundredth anniversary of the 1913 Federal Reserve Act approaches, we assess whether the nation’s experiment with the Federal Reserve has been a success or a failure. Drawing on a wide range of empirical research, we find the following: 1) T …

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“Back to a Gold Standard?”

– November 12, 2010

“The gold standard shackled central bankers to a sinking ship. When countries left the gold standard, they began to recover. Countries that were never on the gold standard had very mild recessions during the Great Depression. Why would we ever want to …

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Larry White on the Business Cycle

– November 11, 2010

Peter Boettke over on Coordination Problem posted an excellent video of Larry White discussing the Austrian theory of the business cycle. Enjoy!

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“Ben Bernanke’s Impossible Dream” – WSJ

– November 10, 2010

“At Jackson Hole, Mr. Bernanke explained that “if inflation expectations were too low . . . an increase in inflation expectations could become a benefit.” Well, he’s certainly succeeded in raising inflationary expectations. But rising commodity prices …

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“The Federal Reserve’s latest quantitative easing may lead to disaster”

– November 8, 2010

“The Fed could have sat tight to see whether the slowdown in growth in the second and third quarters of 2010 was temporary. Most of the economic news since the idea of more QE was first floated in August has been better than expected, if not exactly ea …

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