Balderdash

Confessions of an Austrian Economist

Ever heard the old adage 'can't have your cake and eat it too??' I suggest you revisit this truism.

The malinvestments and inane monetary policies of our decades past have created losses that must be flushed through the system. No amount of fiscal stimulus is going to cure the inevitable correction. All the government can do is redistribute the losses amongst those who have done no wrong and create moral hazard.

An inflationary depression is far worse than a deflationary one. Imagine the job losses if people refuse to work for worthless dollars and demand gold, euros, or wheat? A full blown currency crisis is arguably worse than deflation and massive default.