Topic: Sound Money Project

On regulating bitcoin

– March 17, 2015

There’s a lot of discussion about regulating cryptocurrencies like bitcoin these days.


The multiple moral hazards of central banking

– March 12, 2015

In an introductory economics course, students are taught that there is “moral hazard” in the incentives of commercial banks because of access to the “safety net” offered by central banks and the government’s guarantee/insurance of bank deposits. There …


What is sound money? A macroeconomic perspective

– March 9, 2015

The term “sound money” means different things to different people. Some stress the stability of purchasing power over time. Some stress the money’s ability to facilitate exchange. Some stress the money’s ability to promote macroeconomic stability. And, …

fed facade

Sound Money meets the Fed

– March 6, 2015

In October of last year, while speaking at the Boston Fed,  Janet Yellen announced her concern over growing inequality in the United States, revealing that she thought it was “appropriate to ask whether this trend is compatible with values rooted in ou …


Op-ed: Greek solvency requires political reform, support from populace

– March 2, 2015

A hard currency backed by specie like gold or silver imposes sound economic policies on the nations that use them, but currency established by central bank fiat requires sound policies to be established by political mechanisms in concert with the suppo …

inflation targeting

Inflation targets and expectations

– February 25, 2015

We should be less concerned with whether inflation is below the Fed’s target and more concerned with whether inflation is below expected inflation.


Op-ed: Dark dollar dealings

– February 24, 2015

With the conviction of Ross William Ulbricbht, founder of Silk Road, many proponents of bitcoin and other crypto-currencies fear that the government “might bolster efforts to regulate — and perhaps even ban the emerging cryptocurrency.” In an Op-Ed pub …

open vault

Sound money and banking

– February 23, 2015

What role does banking play in a theory of sound money? Banks in the United States are regulated by several agencies, especially the Fed. But should the Fed really regulate the banking system? Can the Fed effectively regulate the banking system? Regula …


Money and exchange rates

– February 18, 2015

The new year started with much media attention to exchange rates between currencies of some countries versus their trading partners. The Swiss got things started by announcing an end to the artificial peg of their currency—francs—and euros. The consequ …

ISFLC poster

Sound Money Project at ISFLC

– February 11, 2015

The Sound Money Project would like to invite you to join William Luther and Johannes Schmidt of the Sound Money Project along with George Selgin of the Cato Institute and Lawrence White of George Mason University at the International Students for Liber …


No, the interest rate is not the price of money

– February 9, 2015

The notion that the interest rate is the price of money is seriously misled. As I move forward with my lectures on the Keynesian system, this is something that I want to make clear to my students. Certainly, when evaluating the Keynesian model, we need …


Greek crisis creates standoff between regulators and potential investors

– February 5, 2015

This week, Yanis Varoufakis, Greek Minister of Finance, stoked the fire that has been spreading across Europe since the Syriza victory in Greece with bold rhetoric that labeled the ECB’s threats to cut funding for Greek banks as political intimidation …