Monthly Archives: September 2008

Supply and Demand: Wall Street Will Drown Alone: There are two basic obstacles that Washington might create in this process, both of which are included in the Bernanke-Paulson-Bush proposal. One is to pile on regulation and further impede entry by … Continue reading →

]PLEASE, Just Say No!: The House will be voting today on the Bush Bailout. I do not presume that any members of Congress (either House or Senate) will read The Austrian Economists blog spot. But I just want to put … Continue reading →

Hit & Run > The Thing We Have to Fear is Fear-Mongering Itself – Reason Magazine from a working paper on banking crises for the IMF: Existing empirical research has shown that providing assistance to banks and their borrowers can … Continue reading →

Pass the Bill: (Italics in original) We’ve been flailing around with enormous, unprecedented, ad hoc rescue attempts for over a year, and they haven’t worked. Despite what lunatic Republicans think, despite what the public thinks, despite what even some of … Continue reading →

Let Them Fail: The most important “wisdom” of market process theory is to get out of the way of the process of adjustment. The poor decisions in one period must be penalized, the malinvestments made by businesses must be cleaned … Continue reading →

EconLog, The Case Against the Bailout, Arnold Kling: Library of Economics and Liberty: 1. Today’s economy differs from that of the 1930′s. Then, it may be that financial sector may have contributed to the downturn elsewhere. Today, the financial sector … Continue reading →

Corporatism, Not Capitalism: The free market has nothing to do with the current crisis – Reason Magazine: When you, Joe Citizen, spend frivolously and default on your loans, the bank takes your house. When the government spends your tax dollars … Continue reading →

The Most Interesting Points Can Not Be Put In Your Footnotes!: In the early ’30s, Mises reminded people that what they were living through was not the crisis of capitalism, but the crisis of the interventionist state. We are about … Continue reading →