The Ludwig von Mises Institute South Africa defends the market economy, private property, sound money, and peaceful international relations. We believe government intervention is economically and socially destructive. This is our blog.
Quotable Mises
Help the cause of economic liberty and peace in Africa
Follow us on twitter
Like us on Facebook
-
Recent blog posts
Recent Comments
- Joe Johansen on Don’t forget SARB QE: Part 2
- MarleyMarx on Crisis On The Cape Flats Caused By Decades of Social Engineering
- Daniel on BOE: “Money creation in the modern economy”
- iakovos on New Documentary Explains Global Financial Crisis From the Perspective of the Austrian School of Economics
- Blah on Mandela: The Great Symbol of South Africa’s Unfinished Fight For Liberty
Archives
Mises SA Articles- Say’s Law, Credit Expansion & the Business Cycle March 14, 2014
- Don’t Stop Til You Get Enough December 5, 2013
- Eersteklas ekonomiese satire: Die Petisie van die Kersmakers November 25, 2013
- Circle Bastiat
Fraud. Why the Great Recession?
Watch this crowdfunded documentary produced by Austrian school economist Jesus Huerta de Soto, author of "Money, Bank Credit, and Economic Cycles," on what caused the Great Recession. Click to watch it free online.
Tag Archives: fractional reserve banking
RE: On The Empirical Relevance of Austrian Business Cycle Theory
My friend Grant McDermott, to whom I wrote why I think the empirical relevance of ABCT by Lester/Wolff may produce “mixed” results replied to me in this post. This is a quick one to elaborate my points. Firstly Grant says … Continue reading
Posted in Chris Becker
Tagged ABCT, business cycle, central bank, fractional reserve banking, inflation, malinvestment, monetary policy
Leave a comment
The Declining Relevance of Fractional Reserve Banks
Here is a fascinating article on Wired about the declining influence and relevance of fractional reserve commercial banks on the lives of individuals. It argues that banks will one day look more like Google, Facebook, or Apple. Interesting about this … Continue reading
Posted in Chris Becker
Tagged banking crisis, central bank, fractional reserve banking, gold, inflation
Leave a comment
Technology and ABCT
Technology has a very interesting and highly complex effect on business cycles. There is a lot that can be said about this topic but I just want to highlight a few important aspects of technology in its relation to ABCT and … Continue reading
Posted in Russell Lamberti
Tagged ABCT, business cycle, central bank, fractional reserve banking, mises, saving, subsistence fund, technology
2 Comments
RE: On The Empirical Relevance of Austrian Business Cycle Theory
Chris: Further to your useful post, it goes without saying that Austrian methodology is wholly different from the empirical analysis employed in the Lester/Wolff study. Three points on this: Firstly, it is interesting that despite all the data shortcomings, the authors found … Continue reading
The problem when fractional banks still work
Since the financial crisis in 2008/09 the Federal Reserve has printed trillions of dollars and purchased assets with them, mostly US government bonds and mortgage-backed securities. This has caused the assets on the Fed’s balance sheet to swell by around … Continue reading
How to Fix Greece in 7 steps
My article is posted over at Mises.co.za. I argue that Greece needs to: Abolish legal tender law Liquidate state assets for gold Back fractional bank deposits with the proceeds End all state services Repudiate the national debt Deregulate arms and private … Continue reading
Why IP is Important
I’ve been getting ragged (in good-spirited jest I must add) by Gareth, who thinks I’m getting distracted by a fringe issue. The thing is, I really don’t think ‘intellectual property’ is a fringe issue. The reason IP issues are not fringe issues … Continue reading
The Currency War for Dummies
My new article out on www.mises.co.za. The world is in a currency war. What is that? It’s when governments devalue their currencies in order to protect domestic industries against foreign competition. They believe that if their exchange rate is weaker … Continue reading
Posted in Uncategorized
Tagged central bank, currency wars, fractional reserve banking, inflation, monetary policy, Money Printing, trade
Leave a comment
Rothbard on trade and money
In light of my points regarding money creation, trade and exchange rates, here is one of the masters explaining the process. This excerpt is taken from The Mystery of Banking by Murray Rothbard, pages 120-123. Find the free PDF here … Continue reading
Posted in Uncategorized
Tagged business cycle, fractional reserve banking, gold, inflation, mises, Ricardo, Rothbard, trade
Leave a comment
Leon Louw Is Right…In A Sound Money World cont.
In response to my article “Leon Louw Is Right…In A Sound Money World“, Katy asks the following: I am fairly new to the field of rigorous economics, so please assist me if you may. You said, “So while we might … Continue reading