Monetary Theory

President Franklin D. Roosevelt's 1934 Gold Reserve Act was the greatest theft of wealth I'm aware of in American history:

"The government doesn't create any real wealth, so how can an increase in government outlays revive the economy?"

Sponsored by the Mises Institute and held in Houston, Texas; September 22-23, 1995.

Sponsored by the Mises Institute and held in Houston, Texas; September 22-23, 1995.

Sponsored by the Mises Institute and held in Houston, Texas; September 22-23, 1995.

Sponsored by the Mises Institute and held in Houston, Texas; September 22-23, 1995.

Presented at the Mises Institute’s first conference, November 16-17, 1983; in Washington, DC.

What can be more Austrian than an investment strategy that is based entirely in the notion that the future is uncertain and accurately forecasting it is impossible?

People must relearn that free-market money, or sound money, as Mises put it, is the indispensable element for preserving the free societal order.

The Austrians (including me) who predicted these problems based on Greenspan's low-interest-rate policy know of course that the main cause was that low-interest-rate policy, with his numerous bailouts of failed financial institutions also creating a moral hazard that encouraged risky behavior.