Umberto Principe

Umberto Principe

Pen name of Italian Banker. He speaks many languages and is especially well versed in German. For privacy reasons he does not disclose his real name.

Articles by Umberto Principe

Did Austrian Economists Get the Recovery Wrong?

Mises.org

Austrians got the recovery after the financial crisis wrong. Monetary expansion did not lead to hyperinflation and a collapse of central banks. Their mistake was that the Austrian principle of “too cheap money leads to wrong investments”, is currently not valid. Due to high risk aversion after the financial crisis, firms do only only best projects. Austrian economists were right before the crisis, but after the crisis Keynesians and Germans with the new European gold standard called “euro” have been successful. Read more on hyperinflation and quasi-fiscal deficits” on Mises.org.

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