Volume 8, No. 1 (Spring 2005) This paper proceeds by explaining deflation and aggregate price determination in more detail. Then, some facts about the development of Japan, 1990–2001, are provided, together with an extensive interpretation. This is followed by a closer examination of the official Japanese interpretation, contrasting it with my
One of the more confused propositions in the realm of currencies and exchange rates is the belief that the value of a currency is measured or determined by the exchange rate. For example, t he dollar has fallen about 13 percent against the euro in this year and has lost about a third of its value against the euro since mid-2001. This makes some
Some distinguished theorists have lately entered into a debate over the merits of free trade after two of them had suggested that “free trade has necessary conditions” and “today these conditions are not met” . In particular, they mean that David Ricardo’s law of comparative advantage don’t hold if the “factors of production” are free to move
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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.