Murray Rothbard made the point to us in his US Economic History class at UNLV that economic downturns used to be called “panics.” But, the government believed that word to be too scary for the general public, so, “depression” began to be used to describe downturns. Then, the word “depression” was felt to be, well, too depressing, so “recession”
Listen to the Audio Mises Wire version of this article. Banks and accounting trickery go together. Last year, as I remember back to my banking days, financial institutions followed the advice once proffered by one of our board members, “If we’re going to the dump, let’s take a full load.” When the pandemic struck, banks dumped plenty in their
Listen to the Audio Mises Wire version of this article. May is on its way, and the old investment saw, “Sell in May and go away,” will be tested once again. Jared Blikre, writing for Yahoo Finance , provides the history behind what may or may not be good advice. “The full axiom was originally, ‘Sell in May and go away, and come on back on St.
This spring Scott Pelley of 60 Minutes asked Fed chair Jerome Powell, “And you believe the system, because of the oversight of the Fed, has the wherewithal to stand a significant shock to the markets?” After pointing out that the markets survived a 25 percent drop in GDP and the loss of 30 million jobs last covid spring, Powell admitted
The Fed announced the reportedly hawkish news that the central bank may raise rates, not this year, not next year, but by fifty basis points sometime in 2023. This tapering would slow the Fed’s buying of $120 billion of debt securities a month with money created from the ether to some lesser amount. People forget the central bank “kept its
Rothbard: “At the outset of every step forward on the road to a more plentiful existence is saving.Without saving and capital accumulation there could not be any striving toward nonmaterial ends.” Original Article: “ The Upside of Lockdowns: More Saving “ This Audio Mises Wire is generously sponsored by Christopher Condon. Narrated by Michael
With Jerome Powell and Janet Yellen focusing on using monetary policy to manage climate change, the M1 money supply has gone parabolic, from just over $4 trillion in February to $18.6 trillion in March. This is right out of Zimbabwe’s playbook. Original Article: “ The Fed Embraces Its Inner Zimbabwean “ This Audio Mises Wire is generously
The central bank has basically destroyed the business of risk, and commercial real estate remains a looming disaster. As a result, banks aren’t lending to regular people. The economy increasingly relies on little more than newly printed money. Original Article: “ Thanks to the Fed, the High-Risk, Small-Time Borrower Is Becoming a Thing of the
Americans have benefited mightily by holding and trading with the world’s reserve currency, though most people haven’t given it a thought. No one remembers when the pound sterling held this distinction a hundred years ago. Original Article: “ The Dollar’s Reserve Currency Status Won’t Last Forever “ This Audio Mises Wire is generously sponsored
Listen to the Audio Mises Wire version of this article. Something good is coming out of the covid lockdowns. Economist David Rosenberg released a special report via the eponymous Rosenberg Research, concluding “the pre-COVID-19 ‘norm’ of a 7% personal savings rate will morph into a post-COVID-19 norm of 10%.” Rosenberg makes frequent TV
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The Mises Institute is a non-profit organization that exists to promote teaching and research in the Austrian School of economics, individual freedom, honest history, and international peace, in the tradition of Ludwig von Mises and Murray N. Rothbard.
Non-political, non-partisan, and non-PC, we advocate a radical shift in the intellectual climate, away from statism and toward a private property order. We believe that our foundational ideas are of permanent value, and oppose all efforts at compromise, sellout, and amalgamation of these ideas with fashionable political, cultural, and social doctrines inimical to their spirit.