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

Monday, June 10th, 2019

Fed Chair Jerome Powell has suggested that Federal Reserve policy might not tighten as much as anticipated. He has also changed the regime that dominated the last decade of monetary policy.

Friday, June 7th, 2019

Money creation was far from excessive in the 1920s. More significant factors leading to the Great Depression include the monetary contraction that began in 1929 and the French repatriation of gold that started in 1927.

Wednesday, June 5th, 2019

The problem with constrained discretion is that it leaves up to central bankers the decision when to switch from rule-like behavior to discretionary behavior.

Monday, June 3rd, 2019

A bank charter has been granted to The Narrow Bank in Connecticut. But the idea of narrow banking is not new.

Friday, May 31st, 2019

To reduce inflation and keep the Argentine peso stable going forward, the Macri administration adopted an inflation-targeting regime. But, just 26 months after its implementation in September 2016, the inflation-targeting regime had failed. What went wrong?

Thursday, May 30th, 2019

In a new NBER working paper, Felipe Benguria and Alan M. Taylor consider whether financial crises usually stem from the demand or supply side of the market.

Tuesday, May 28th, 2019

A new type of financial institution could take root in the U.S. But the Federal Reserve seems determined to prevent this from happening.

Sunday, May 26th, 2019

What are the merits of returning to the gold standard? Is such a system feasible today?

Thursday, May 16th, 2019

Volatility is to be expected for new media of exchange. But one should also be able to trace a lot of that volatility to news.

Wednesday, May 15th, 2019

Some claim that, over the last decade, tight monetary policy slowed down what would otherwise have been a rather speedy recovery. Can that possibly be right?

Wednesday, May 15th, 2019

The jury is still out on whether Dodd-Frank has made the financial system more robust. But we are starting to get a clearer picture of what impact it has had on compliance cost, bank lending, and bank consolidation.

Tuesday, May 14th, 2019

A monetary rule would provide guidance and stability. But monetary rules are not incentive-compatible for monetary policy makers.

Monday, May 13th, 2019

In a recent report, the Government Accountability Office recommends altering the metal content of the nickel and casts doubt on the benefits of suspending production of the penny.

Friday, April 19th, 2019

In a new report, the Government Accountability Office (GAO) considers the financial benefit of switching to a $1 coin.

Friday, April 19th, 2019
In a recent NBER working paper, Margaret M. Jacobson, Eric M. Leeper, and Bruce Preston argue that FDR’s abandonment of the gold standard helped bring an end to the Great Depression.
Thursday, April 11th, 2019

The president’s decisions to nominate Stephen Moore and Herman Cain leave a lot to be desired. But that is no excuse for perpetuating the myth that the Fed has been independent up until now.

Wednesday, April 10th, 2019

FDR set the standard for future progressives who wished to exercise broad powers to mold the world as they think best.

Friday, April 5th, 2019

There is growing support for the idea that meddling with market interest rates is a bad idea. Interest rates coordinate intertemporal production plans, and any attempt to alter them will entail undesirable unintended consequences. 

Thursday, April 4th, 2019

Government expenditures can be funded by increasing reserves at the Federal Reserve. But limits on the demand for reserves mean inflation will follow.

Tuesday, April 2nd, 2019

Some scholars argue that ordinary citizens should be allowed to open bank accounts at the Fed. Is this the best way to reduce financial exclusion?