Economics

How LockDowns Shattered the Structure of Production

by Richard M. Ebeling June 9, 2020

Old fallacies have a way of reappearing, especially, during times of social and economic crises. The current coronavirus crisis has opened the door to a variety of them, including the notion of a “paradox of thrift.” It is the idea that if people save more of their incomes by reducing their consumption expenditures, they will lower the market demand ...

There Will Be No Recovery Without Production

by Richard M. Ebeling May 19, 2020

Through most of the coronavirus crisis, those who have made the case for stay-at-home, reduce or stop work, and narrow the range of retail shopping to assure “social distancing” to reduce the spread of the virus have accused their critics of being more interested in preserving livelihoods than “saving lives.” But there is no preservation of any lives if ...

And They’re Gone! The Obscenity Of Dr. Fauci’s Jobs-Mageddon

by David Stockman May 12, 2020

Yes, they are.....gone. We are referring, of course, to all of the jobs created not only since the Great Recession bottom, but during the entire 21st century to date! That’s right. The 20.5 million jobs plunge reported for April essentially wiped out the “strong labor market” brouhaha of the 244 “Jobs Friday” reports since January 2000. In fact, the 131.072 million nonfarm ...

An “Austrian” Agenda for Post-Coronavirus Recovery

by Richard M. Ebeling May 8, 2020

Everyone is hoping for the light at the end of the tunnel with the coronavirus crisis. There are few who are not exhausted with fear of the illness, and with worry and despair about the economic disaster caused by the government lockdowns and stay-at-home dictates. So, eyes are turned to a post-coronavirus world and what it will be like. ...

Economic Impossibilities

by Laurence M. Vance April 17, 2020

Just as certain things are impossible in mathematics, accounting, chemistry, and physics, so also in economics. Adding two even numbers together can never result in an odd number. Assets cannot but equal liabilities plus equities. Oil and water do not mix. Atmospheric pressure does not increase with an increase in height. When the price of a good rises, the amount ...

Fifty Years of Statist Policies and Economic Fallacies

by Richard M. Ebeling April 1, 2020

It is about fifty years since, as an undergraduate, I took my first economics classes in college. Virtually all my professors were adamant that unrestrained market capitalism was unworkable, and on the way out. Planning, many of them said, was the future for complex societies and economic development. Like “deva vu, all over again,” the same claims are being ...

Happy 90th Birthday, Professor Israel Kirzner!

by Richard M. Ebeling February 19, 2020

Even in an era when modern medicine and technologies are adding to people’s lifetimes, along with the gains in general human economic betterment, it still stands as a notable event when someone marks their 90th birthday. On February 13th, renowned “Austrian” economist, Israel M. Kirzner, celebrated his reaching of that important milestone. It is difficult to imagine the revival of ...

Wasserman’s Twisted Tale About the Austrian School of Economics

by Richard M. Ebeling December 12, 2019

The Austrian School of Economics has been one of the most original and insightful approaches to economic understanding over the last century and a half. The Austrian School is also widely identified with the classical liberal ideal of individual liberty and free markets. Indeed, several of the Austrian economists have been considered to be among the most consistent and ...

My Life as an Austrian Economist and a Classical Liberal

by Richard M. Ebeling September 27, 2019

I suppose I can date my interest in both classical liberalism and Austrian economics to the day I was born. The doctor grabbed me by my little feet, turned me upside down and spanked my tiny bottom. I began to cry out. That is when I realized the fundamental “Austrian” axiom that “man acts.” In addition, I appreciated that what ...

Price Controls Attack the Freedom of Speech

by Richard M. Ebeling September 18, 2019

We increasingly live in a new “dark age” of economic ignorance, and even stupidity. Few things exemplify this trend as much as the call for price controls over the interactions of multitudes of people in the marketplace of supply and demand. There are few government interventionist policies as likely to disrupt, distort, and imbalance the actions of tens of millions, indeed, ...

Minimum Wage Nonsense

by Christine Smith August 26, 2019

Once again, the call for raising the federal minimum wage is in the news, with most Democratic Party candidates for president endorsing its doubling from $7.25 to $15/hour. Some candidates have suggested it be increased even more, depending on the region of the country. Of course, this is because of great compassion and empathy for the American worker. Right? After ...

Milton Friedman: The Forgotten History of the Godfather of Conservative Libertarianism

by Brian Miller August 9, 2019

“I would like to say to Milton and Anna : Regarding the Great Depression. You’re right, we did it. We’re very sorry. But thanks to you, we won’t do it again.” Federal Reserve Chairman Ben Bernanke, acknowledging the central bank’s role in causing the Great Depression