Sound Money Project

 

The Sound Money Project was founded in January 2009 to conduct research and promote awareness about monetary stability and financial privacy. The project is comprised of leading academics and practitioners in money, banking, and macroeconomics. It offers regular commentary and in-depth analysis on monetary policy, alternative monetary systems, financial markets regulation, cryptocurrencies, and the history of monetary and macroeconomic thought. The Sound Money Project also hosts an annual essay contest. For the latest on sound money issues, subscribe to our working paper series and follow along on Twitter or Facebook.

Advisory Board: Steve H. Hanke, Jerry L. JordanGerald P. O’Driscoll, Jr., Lawrence H. White
Director: William J. Luther
Senior Fellows: Gerald P. DwyerJoshua R. Hendrickson
Fellows: Scott A. Burns, James L. Caton, Nicolás Cachanosky, Judge GlockAlexander W. Salter
Contributors: Brian C. Albrecht, J.P. Koning

Thursday, March 21st, 2019

Financial privacy and autonomy are important. But cash and cryptocurrencies are not the only means to those ends.

Monday, March 18th, 2019

It is not hard to find commentary on the internet indicating that Bitcoin is bound to fail. But there is no reason to think that cryptocurrencies will disappear.

Friday, March 15th, 2019

Control over money is the legal privilege of the monetary authority. But the monetary authority is not above reproach.

Wednesday, March 13th, 2019

The history of sovereign debt appears to be a history of default, repudiation, and limited debt enforcement. Why, then, do investors keep going back?

Tuesday, March 12th, 2019

The Fed has a monopoly on the creation of base money, the fundamental asset underlying the banking and financial system. And over decades, with each instance of financial turbulence, the Fed has become less constrained in how, when, and why it creates base money.

Monday, March 11th, 2019

Bankers have been steadily introducing cashless banks over the last few years in response to falling customer demand for cash. With fewer people wanting to withdraw or deposit cash, the cost of offering these services gets harder to justify to shareholders.

Tuesday, March 5th, 2019

The Great Recession of the 2000s shaped a generation of macro- and monetary economists. We can debate the details. But three things warrant widespread agreement.

Thursday, February 21st, 2019

Some politicians are calling for the return of postal banking. Should we heed their call?

Thursday, February 14th, 2019

Central banking should be boring. Surprises in the stance of monetary policy are almost always a bad thing. The best thing a central bank can do to achieve macroeconomic stability is to be very open about its future intended policies.

Wednesday, February 13th, 2019

Ten years have passed since Bitcoin was introduced, and it still isn't used much in online commerce. Will the Lightning Network get it back on track?

 

Monday, February 11th, 2019

Argentina has shown itself incapable of managing the money supply appropriately. It would do better by outsourcing its monetary policy.

Thursday, January 31st, 2019

In a recent NBER working paper, Barry Eichengreen argues “there is no straight line from commodity money to fiat money and from there to crypto.”

Thursday, January 24th, 2019

Those who cite low interest rates on government debt miss the point. It is not the price of government borrowing that matters. Rather, it is the opportunity cost of government borrowing to society.

Monday, January 21st, 2019

Chairman Powell's track record suggests that he has a grasp on fundamentals and that he is dedicated to reversing a decade of monetary imbalance.

Thursday, January 17th, 2019

Bitcoin and other cryptocurrencies have a bad reputation. But they can be used to avoid high inflation and the effects of pernicious capital controls.

Tuesday, January 15th, 2019

That one set of payments providers gets access to the core payments system while another is shut out seems quite arbitrary.

Monday, January 14th, 2019

We can’t predict exactly what solutions will emerge from financial liberalization. The results will likely differ from country to country or region to region, depending on unique cultural and socio-economic factors.

Thursday, January 10th, 2019

While it is appropriate for monetary policy to be removed from active political interference, it does not follow that monetary policy ought not be judged according to democratic standards.

Wednesday, January 9th, 2019

Argentina has secured an IMF agreement and announced aggressive policies to reduce its fiscal deficit and inflation rate. But that might not be enough to comfort its creditors.

Tuesday, January 8th, 2019

The blockchain technology is essential when trust is sufficiently weak, monitoring is sufficiently costly, privacy is sufficiently important, or security is of sufficient concern.

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