Individual Time Preferences, Not the Central Bank, Determine Real Interest Rates

Tags: Central Banks, The Fed, Inflation, U.S. Economy

11/23/2022 Frank Shostak

The Fed’s predictable response to inflation is based on erroneous economic thinking common with Keynesians. Only a free-market approach can reduce inflation and restore true market interest rates.

Original Article: “Individual Time Preferences, Not the Central Bank, Determine Real Interest Rates”

This Audio Mises Wire is generously sponsored by Christopher Condon.

The Mises Institute is a non-profit organization that exists to promote teaching and research in the Austrian School of economics, individual freedom, honest history, and international peace, in the tradition of Ludwig von Mises and Murray N. Rothbard.

Non-political, non-partisan, and non-PC, we advocate a radical shift in the intellectual climate, away from statism and toward a private property order. We believe that our foundational ideas are of permanent value, and oppose all efforts at compromise, sellout, and amalgamation of these ideas with fashionable political, cultural, and social doctrines inimical to their spirit.