Thursday, June 09, 2016

Central Bankers Claim:
Things Are Better than You Think
Mises Institute posted essay highlights the distortions caused by central bankers - all leading to an economy no longer based on sound money .. "Since central bankers choose to steadfastly ignore this reality, the result has been the emergence of three serious global asset price inflation diseases in just three decades. Their undermining of economic prosperity has shown up as a situation marked by low investment, malinvestment, and correspondingly weak real income and productivity growth. This has been coupled with episodes of huge profits for 'Wall Street,' and the resulting increased inequality has made fertile ground for populism both on the left and the right. Meanwhile, the intensified regulatory state, which populism has helped produce, has compounded the economic malaise .. There is no inevitable path from monetary chaos to any particular frightening political outcome — including Robert Kagan’s nightmare prediction that:
'Trumpism' is 'how fascism will come to America ' .. Trump is only a symptom of a far larger problem. The economic conditions that have paved the way for 'Trumpism' are really a result of decades of monetary disorder brought to us by central banks.
In the 18th century, British economist John Stuart Mill wrote 'most of the time the machinery of money is unimportant but when it gets out of control it becomes the monkey wrench in all the other machinery of the economy.' There should have been a second sentence about how the dysfunction of the invisible hands attributable to the monetary disorder endangers political liberalism."
LINK HERE to the essay

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