Monday 15 September 2008

Crisis of capitalism - you must be joking

But that's what millions of fools will be told and will believe.

Vox tells it like it is:

This isn't a failure of free market capitalism. It's precisely the opposite, it's the failure of government-controlled faux market capitalism.

Mises explained what's now happening decades ago. Rothbard put it in easy to understand terms:

Rothbard not only argues for the gold standard; he shows how it can be restored in a practical, step-by-step plan. No other system will stop the seemingly endless monetary inflation of the Federal Reserve system. He also makes his strongest case against fractional reserve banking. This essay was written in 1962 and this edition includes Rothbard's sweeping introduction from 1991, in which he argues that the true gold standard is more viable than ever.
It really is quite straightforward. Any banking system that allows the creation of money out of thin air will go bust eventually. And such a regime is always the product of a socialised central bank. Capitalism is based on property rights that relate to real assets and that's exactly what we need right now. We should no longer allow the predator class to use the state to steal from those who produce real wealth.

1 comment:

David Farrer said...

Comments made on previous template:

>state meddling - I'm sorry, but that sounds as if you are not a democrat?

12 November 2008, 20:30:04 GMT
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Really glad you're quoting Vox and it's true too.

16 September 2008, 09:45:22 GMT+01:00
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Is money really made out of thin air? This article makes a good case that it is not, and that fractional reserve banking is not against libertarian principles: 
I agree with you about the state meddling, though.

15 September 2008, 17:50:14 GMT+01:00