Today, short-term interest rates are set by the diktats of the central bank. And long-term interest rates are set in a “market” in which the central bank is obliged to keep coming back to buy ever more bonds, and speculators...
26/04/12
Keith Weiner
Dear Professor Keen,
I am a monetary scientist and a fan of some of your work. I admire the courage it took for you to call the Australian housing crisis as early as you did, and...
I am writing this, having just returned from the fourth course at the New Austrian School of Economics, in Munich. The single biggest theme was the rate of interest and its linkage to prices. Kondratieff, among several others, have observed...
Keith Weiner
New Austrian School of Economics
Gold Standard Institute
M. Benjamin Bernanke
Chairman of the Federal Reserve
Re: Open Letter to Discuss Your Misunderstandings About Gold
Keith Weiner
Dear M. Bernanke:
You have publicly gone on record with some off-the-wall assertions...
As the title of this essay suggests, a loan is an exchange of wealth for income. Like everything else in a free market (imagine happier days of yore), it is a voluntary trade. Contrary to the endemic language...
In my last piece, The Laffer Curve and Austrian Economics, I argued that the “Laffer Maxima” moves depending on where the economy is in the boom-bust credit cycle. I used an example of a marginal restaurant business in the bust...
To listen to the audio version of this article click here.
The Monetary Sleight of Hand
The Keynesians and Monetarists have fooled people with a clever sleight of hand. They have convinced people to look at prices (especially consumer prices) to understand...
Jude Wanniski, a writer for the Wall Street Journal, coined the term “Laffer Curve” after a concept promoted by economist Art Laffer.Laffer himself says the idea goes back to the 14th century
The idea is that if one wants to maximize...
Peter Tchir wrote a piece yesterday describing yet another hole in the banks’ balance sheets:
I am not sure I fully understand it, but to me it looks something like this:
A bank has a duration mismatch. Its funding...
:
