Why Keynes Was Wrong about Unemployment

Large-scale unemployment is another name for a surplus in the labor market. Equilibrium is a state which markets will naturally move toward as buyers and sellers look for mutually advantageous exchanges. Firms can always get some value from additional labor, even under pessimistic forecasts of sale prices and quantities. Workers […]

The Real Tax Scandal

By: Jeff Deist The self-styled investigative journalism outlet ProPublica recently published private IRS tax information—presumably embarrassing private tax information—for a host of ultrawealthy and famous Americans. I say “self-styled” because the organization claims a pretty lofty and self-important mission to use the “moral force” of journalism on behalf of the public interest […]

From Pandemic to Endemic: Living with COVID-19

Our guest is Professor David Heymann, an American physician and epidemiologist based at the London School of Hygiene and Tropical Medicine. He has held leading positions at the WHO for more than 20 years, coordinating global responses to epidemics such as Ebola, AIDS, polio, and SARS. He also served as […]

How the Federalists Stacked the Deck to Win Ratification

[This passage is excerpted from Murray N. Rothbard’s Conceived in Liberty, vol. 5, The New Republic: 1784–1791.] The Federalists shrewdly decided to strike hard and swift and drive the Constitution rapidly through the states. The Federalist leaders were a small and cohesive group concentrated in the cities of the eastern seaboard, knew […]

Why Monetary “Stimulus” Won’t Prevent an Economic Bust

The increase in the growth rate of the Consumer Price Index (CPI) has fueled concerns that if the rising trend were to continue the Fed is likely to tighten its interest rate stance. Observe that the yearly growth rate in the CPI climbed to 4.2 percent in April from 2.6 […]

Bond Trading at the Fed

By: Robert Aro One of the Federal Reserve’s “temporary emergency lending facilities” is being wound down! As announced on Wednesday, all assets purchased under the Secondary Market Corporate Credit Facility (SMCCF) are expected to be sold. The nearly $14 billion facility holds approximately $8.5 billion corporate bonds, plus various bond […]

Without Sound Economics, the Progressives Win

[A selection from “The Objectives of Economic Education” in Economic Freedom and Interventionism.]  The struggle between the two systems of social organization, freedom and totalitarianism, will be decided in the democratic nations at the polls. As things are today, the outcome in the United States will determine the outcome for all other […]

Bill Sanders: How Creative Conflict Expands the Value Pie

Value facilitation is a creative act of imagination, design, assembly, communication and agile responsiveness. Our Economics For Business model applies these actions in the pursuit of new economic value. Bill Sanders, an expert in contract negotiation in business, applies them in dealmaking and business relationship management. His book, Creative Conflict: […]

“Supply Bottlenecks” as an Excuse for Inflation

One of the arguments most used by central banks regarding the increase in inflation is that it is because of bottlenecks and that the recovery in demand has created tensions in the supply chain. However, the evidence shows us that most commodities have risen in tandem in an environment of a wide […]

America Still Loves the Warfare State

The difficulty Trump encountered in trying to even slightly scale back American military schemes shows just how far Americans are from abandoning the idea that the United States is the indispensable nation entitled to fight wars always and everywhere.  Original Article: “America Still Loves the Warfare State” This Audio Mises […]

El Salvador Blazes the Path to Bitcoinization

By: Peter St. Onge On Saturday, El Salvador’s president [Nayib Bukele] shook the Bitcoin world by announcing a plan to make Bitcoin legal tender in his country. Details will emerge over time, but even this early it looks like a very big deal. So I wanted to get some quick thoughts on […]

The Meaning of Market Democracy

The Free Market 24, no. 12 ( 2004) The democracy of the market is not the democracy that Plato spoke of in his Republic (c. 370 BC) as “a charming form of government, full of variety and disorder, and dispensing a kind of equality to equals and unequals alike,” nor […]

How Facebook Turned its Market Success Into a Culture War on America

Corporate America—from Facebook to Google to Major League Baseball—got rich by giving the consumers what they want. Now these big firms will use their riches to crush their ideological enemies. That’s life in a “mixed economy.”  Original Article: “How Facebook Turned its Market Success Into a Culture War on America” […]

Price Discovery is Alive and Well in Crypto

“If the market continues to see wild swings based on Elon Musk tweets, it’s going to be a big setback for this asset class,” Matt Maley, chief market strategist for Miller Tabak + Co. told Bloomberg. “The fact that it sees such wild swings to the tweets from one person […]

Why Corporate Lobbyists and Special Interest Groups Won’t Go Away

Throughout much of human history, a political ruler was often considered to be only as good as his ability to distribute gifts, booty, and other material rewards to his most valuable and loyal servants. In the “barbarian” days of northern Europe, military men expected their kings to lead them to […]

Governments Don’t Hate Gold Because It’s Gold. They Hate It Because It’s Not Fiat Money.

[This article is excerpted from chapter 17 of Human Action.] Men have chosen the precious metals gold and silver for the money service on account of their mineralogical, physical, and chemical features. The use of money in a market economy is a praxeologically necessary fact. That gold—and not something else—is […]

The Origins of Keynesian Economics: How Did It Get So Popular?

The British Austrian economist W.H. Hutt was a great critic of Keynes’s economic theories. However, his speculations on why the New Economics revolution happened are even more fascinating. Hutt shows it to be a fundamentally dishonest undertaking. Keynes held a long-standing belief in inflation and public spending. His General Theory […]

How Marriage Patterns May Have Helped Fuel Europe’s Rise to Wealth

From the Late Middle Ages to the nineteenth century, Europe transitioned from being one of the most backward regions in the world and became the world’s economic powerhouse. How did this happen? One reason, as shown by Ralph Raico, is Europe’s unusual political decentralization. But another likely factor is Western Europe’s unusual […]

What Does Marginality Mean?

What does it mean to act “on the margin” or to think in terms of “marginality?” Economists use the term often. The Mises Circle in interwar Vienna even had songs with refrains that included the words “marginal utility.” On the very first day of my principles courses, I teach my […]

Mises on Dealing with Rival World Views

In Human Action, Mises anticipates an issue that has been at the heart of political philosophy for the past thirty years or so. The discussion in political philosophy has centered on issues raised by John Rawls in Political Liberalism (1993). Rawls says that in modern nation-states, individuals and groups have […]