The balance of payments myth
byIn March, the US trade account balance stood at a deficit of $50 billion against a deficit of $49.28 billion in February and a…
Should the Fed tamper with the quantity of money?
byMost economists are of the view that a growing economy requires a growing money stock, because economic growth gives rise to a greater…
Chapter 9: Reform
byAnyone reading this probably already feels that reform would be a good idea. On paper, reform would be a simple matter: merely cancelling unjust…
The essence of goods prices determination
byWhy do individuals pay much higher prices for some goods versus other goods? The common reply to this is the law of supply…
Economic stability and economic growth
byDuring the period 1920 to 1960, we can observe that the annual growth rate of production was more volatile than between the…
In praise of Hayek’s masterwork
byFriedrich von Hayek first published The Road to Serfdom in 1944. His book was subsequently popularised by a condensed version in The Reader’s Digest….
Debasing the Baseless – Modern Monetary Theory
byPopulist politicians are turning to Modern Monetary Theory Fiscal stimulus has not led to significant inflation during the last decade MMT is too…
Chapter 8: Negotiable Debt, A Bit of History
byThis chapter is a quick summary and clarification of what happens when debt becomes negotiable. The focus is on money, but other…
Subsistence fund the heart of economic growth
byWhat characterizes the modern economy is its complex structure of production that seemingly generates an endless amount and a variety of goods. It…
Global Real Estate – Has the tide begun to recede?
byDespite the fourth quarter shakeout in stocks, real estate values keep rising Financial conditions remain key, especially in a low rate environment Isolated…