Mark Thornton: Austrian economics versus mainstream economics

The excellent Mark Thornton discusses how Austrian economics – the oldest continuous school of economics – both differs from the more recent mathematical mainstream schools, and why it is the fastest growing school of economics, in this distilled 21 minute presentation, first broadcast on the 28th of June, 2011.

Avoid watching this video if you consider yourself a mainstream free market economist, as your head may fall off or even explode.

For instance, what does Professor Thornton think the Federal Reserve should do with U.S. interest rates? Answer: Absolutely nothing. It should let interest rates find their own natural level in a free market uninterfered with by government bureaucrats appointed by politicians.

It’s dangerous heady stuff: