This is not a very sophisticated article (“Muddying the Regulatory Debate” from the Financial Times), but it does give attention to Mises and the Austrians. He presents some weak interpretations of Mises, and this paragraph seems to say that Misesians would propose intervention to downsize the banking system? Maybe I am reading it wrong, but the writing/editing of the piece seems somewhat anemic.
For followers of von Mises, the expansive monetary and fiscal policy that has followed the crisis is wrong. They would advocate a drastic paring back in regulation and the removal of discretion from central banks. Presumably, as they hold that the market would not allow institutions to become too big to fail in the first place, they would support some kind of intervention to make the biggest banks smaller.
See Frank Shostak’s, “Does the Current Financial Crisis Vindicate the Economics of Hyman Minsky?” and Robert Blumen’s “Minsky Having a Moment?“
{ 3 comments }
Two paragraphs back, the article reads “Several things are striking about these narratives. Both fit the facts, and both pin the blame on monetary policy and government interventions over the last decade. The policy of trying to save the market from its own excesses and avert crises with government cash plainly did not work.”
After reading that, it seems the author thinks the market created the bubble. And lumping that last sentence in the paragraph makes it seem as if Mises thought government intervention did not solve the problem of market excess. The article does not explicitly state Mises thought government intervention created the excess, unless I missed something.
Saturday, October 24, 2009
Feeble-mindedly, Financial Times Mentions Mises!
About Us: “The Financial Times, one of the world’s leading business news organisations, is recognised internationally for its authority, integrity and accuracy. Providing extensive news, comment and analysis, the newspaper is printed at 23 print sites across the globe, has a daily circulation of 408,554 (ABC figures, September, 2009) and a readership of 1.3 million people worldwide in print and online.”
Tooting their own horn, nevertheless, the market forces have already sent a message loud and clear to the propaganda rags, like the Financial Times. The message is that these tools of the ego-driven interventionists are obsolete and irrelevent.
The economic terrorists have heard the message and now are determined to seize the internet. For all lovers of liberty and justice and prosperity and peace, the hope is that the fraudulent fiat economy will crash to the earth soon enough to prevent the seizure of the internet, shattering their lustful power grab.
http://undoingsocialism.blogspot.com/
Saturday, October 24, 2009
Feeble-mindedly, Financial Times Mentions Mises!
About Us: “The Financial Times, one of the world’s leading business news organisations, is recognised internationally for its authority, integrity and accuracy. Providing extensive news, comment and analysis, the newspaper is printed at 23 print sites across the globe, has a daily circulation of 408,554 (ABC figures, September, 2009) and a readership of 1.3 million people worldwide in print and online.”
Tooting their own horn, nevertheless, the market forces have already sent a message loud and clear to the propaganda rags, like the Financial Times. The message is that these tools of the ego-driven interventionists are obsolete and irrelevent.
The economic terrorists have heard the message and now are determined to seize the internet. For all lovers of liberty and justice and prosperity and peace, the hope is that the fraudulent fiat economy will crash to the earth soon enough to prevent the seizure of the internet, shattering their lustful power grab.
Comments on this entry are closed.