Home » Posts tagged "Economic Cycle"

Tag Archives: Economic Cycle

Hayek’s neglected truths about credit, capital and the trade cycle


Last night, I caught up with Martin Wolf’s November programmes for Radio 4 Analysis, which you can find here. He offered a predictable blend of commentators calling for more money printing, world central banking and greater global governance. It prompted me to look out Monetary Theory and the Trade Cycle (1933). Hayek wrote (emphasis mine): It is a curious fact that the general disinclination to explain the past boom by monetary factors has been quickly replaced by an even greater […]

Tags: , , , , , ,

A speech on the monetary factors affecting jobs and growth


Yesterday, in the debate on jobs and growth, I said: We are in the midst of this jobs and growth crisis, so I feel that we should ask ourselves where jobs and growth came from, where they have gone and where they will come from in future. I went on to explain how jobs and growth were based on monetary expansion and that we need monetary reform as the basis of sustainable prosperity in future. You can read the speech […]

Tags: , , , , ,

The government did it: The Austrian Theory of the Trade Cycle and other essays


Post Image

This wonderfully short book of just 120 pages explains through four essays, the influence of money and the capital structure of production on the trade cycle. The authors are Mises, Haberler, Rothbard and Hayek. Each essay is short, approachable and insightful, while pointing to more detailed literature. Consider for example, Rothbard, remembering that here “inflation” is an increase in the money supply: So now we see, at last, that the business cycle is brought about, not by any mysterious failings […]

Tags: , , , ,

Bank of England set to pump cash into economy


With the Bank of England set to create new money out of nothing, I offer pointers to two articles which explain how this increase in the money supply will further impoverish the poor and those on fixed incomes, and how the move will diminish the chances of a sustained recovery. The Bank of England is set this week to begin “printing money” in a ground-breaking move that will mark its most forceful action yet to curb the slump in the […]

Tags: , , , , ,

Money, Bank Credit and Economic Cycles


Post Image

Jesus Huerta De Soto’s book, “Money, Bank Credit and Economic Cycles” arrived today, all 875 pages of it. It is, apparently: by far the most thorough treatment in print of Austrian ideas on banking and the business cycle  It looks insightful already (from the preface to the second, 2001, edition): While governments and central banks have reacted to the terrorist attack on New York’s World Trade Center by manipulating interest rates, reducing them to historically low levels … the massive […]

Tags: , , , , , ,