Category Archive: 6b) Austrian Economics

Freiheit beginnt beim Ich – Interview mit Anna Schneider

Interview mit Anna Schneider, Juristin und Journalistin und Autorin des Buches “Freiheit beginnt beim Ich: Liebeserklärung an den Liberalismus”. Ludwig von Mises Institut Deutschland (LvMID): Liebe Frau Schneider, herzlichen Dank für Ihre Bereitschaft zu einem Interview über Ihr neu erschienenes Buch! Was hat Sie motiviert, eine „Liebeserklärung an den Liberalismus“ zu schreiben, wie der Untertitel Ihres Buches lautet?

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The death of the middle class is the death of civil society

Part II of II by Claudio Grass, Hünenberg See, Switzerland The blame game  As we know from every crisis in human history, and especially the more recent ones, the most important item on any politician’s agenda is to find someone else to blame for it. It can be a foreign foe in the form of a hostile state, it can be an “enemy within”, usually long-standing political opponents and their supporters, or it can even be some invisible villain like...

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The Pentagon’s Perpetual Crisis Machine

Given President Biden’s decision to send 31 of its top-ranked M1 Abrams tanks to Ukraine, it is clear that the Pentagon has decided to escalate its war against Russia. Biden’s decision was followed by Germany’s decision to deliver 14 Leopard 2 A6 tanks to Ukraine.

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European Shadow Unemployment Is a Real Problem

The latest jobs report in the United States shows strengths and weaknesses. Total nonfarm payroll employment increased by 223,000 in December, and the unemployment rate fell to 3.5 percent. However, the United States job market continues to show negative real wage growth, the employment-to-population ratio is 60.1 percent, and the force participation rate is 62.3 percent.

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Yes, the Minimum Wage Harms the Economy

The 2021 Nobel Prize in Economic Sciences was awarded to David Card, Joshua Angrist, and Guido Imbens. David Card received the award for his paper (coauthored with Alan Krueger) “Minimum Wages and Employment: A Case Study of the Fast-Food Industry in New Jersey and Pennsylvania.”

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Was Martin Luther King a Russian Red?

Today, federal officials stumble over themselves to show how much they revere Martin Luther King. They’ve even created a federal holiday to honor him. Not so back when King was alive, however. During that time, U.S. officials were convinced that King was a Red, and they were also convinced that the Reds, especially the Russian Reds, were coming to get us. 

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The death of the middle class is the death of civil society

The middle class in the West has been shrinking for years, but after the covid crisis and especially after the inflation explosion, whatever was left of it is now basically under threat of extinction. This has immense sociopolitical implications.

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How the Constitution Constrained Federal Spending and Debt

Given that the debt-ceiling debate is likely to continue for a few months, examining the Constitution provides us with the reasons our nation has been plunged into this monetary morass. Federal officials have now run up the federal government’s debt to more than $31.5 trillion. That’s a lot of money. And it’s also a lot of interest payments. 

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The Elusive International Order

The liberal international order was a screen and a sham. But this does not mean that liberalism is lost.

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Governments Will Make You Poorer Again

The International Monetary Fund (IMF) has warned about the optimistic estimates for 2023, stating that it will likely be a much more difficult year than 2022. Why would that be? Most strategists and commentators are cheering the recent decline in price inflation as a good signal of recovery.

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A High Price is a Good Price – Under the Right Conditions

Overpaying for something that could be found in a different store (or online), under the right circumstances, makes both parties happier. After looking around a bit, I asked the cashier at a nearby convenience store if he had any nine-volt batteries because I didn’t see any on the shelf. To my good fortune, he did. I asked for two of them and pulled a $5 bill out of my wallet as he rang them up.

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The Fed’s Quantitative Easing Gamble Costs Taxpayers Billions

The year 2023 is shaping up to be a challenging one for the Federal Reserve System. The Fed is on track to post its first annual operating loss since 1915. Per our estimates, the loss will be large, perhaps $100 billion or more, and this cash loss does not count the unrealized mark-to-market losses on the Fed’s massive securities portfolio.

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The Trillion-Dollar Coin Idea Is Just Another Way to Rip Us Off

Here we go again. Every few years in Congress there is a purely political battle over the debt ceiling. We're supposed to be horrified and worried that the US might default on some of its debt. Some commentators will insist the US has never defaulted, and that default be a disaster.

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Fiat Money Inflation Not Only Raises Prices but Also Undermines Division of Labor

The line for the self-checkout registers at my neighborhood Albertsons stretched into the store’s produce section. Is this human progress? I wondered, scanning my groceries—this just after I had filled my car’s gas tank at a not-so-convenient convenience store near work.

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Why the Fed Is Bankrupt and Why That Means More Inflation

In 2011, the Federal Reserve invented new accounting methods for itself so that it could never legally go bankrupt. As explained by Robert Murphy, the Federal Reserve redefined its losses so as to ensure its balance sheet never shows insolvency.

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The Rise and Fall of Good Money: A Tale of the Market and the State

Ludwig von Mises's book The Theory of Money and Credit is a masterwork of monetary theory. Despite being written in the early twentieth century, its arguments and conclusions are still valid and interesting today. Mises describes five characteristics that are vital to the function of money: marketability, durability, fungibility, trustworthiness, and convenience.

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The Fed Is a Purely Political Institution, and It’s Definitely Not a Bank.

Those who know Wall Street lore sometimes recall that Fed chairman William Miller—Paul Volcker’s immediate predecessor—joked that most Americans believed the Federal Reserve was either an Indian reservation, a wildlife preserve, or a brand of whiskey. The Fed, of course, is none of those things, but there’s also one other thing the Federal Reserve is not: an actual bank. It is simply a government agency that does bank-like things.

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Australia: The Nation Founded by British Convicts Embraced Entrepreneurship

Australia’s superb performance on measures of international development has earned her the admiration of many. Few countries can boast such stellar achievements in economic and social affairs. Currently, Australia has the highest median wealth per adult in the world and outperforms the Organisation for Economic Co-operation and Development (OECD) average in civic engagement, health, education, and other dimensions of well-being.

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The Politicization of Procreation: The Ultimate in “the Personal Is Political”

In the ultimate example of “the personal is political,” families form, break up, or expand due to US presidential elections according to a recent article in the American Economic Review. Apparently, the alternative responses of doom or elation that occasions electoral politics is so extreme that the losers couldn’t bear to bring a child into such a world, while the winners . . . well, you know.

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Wieso rationales Wirtschaften im Sozialismus unmöglich ist

Dies ist der dritte Teil der Artikelreihe zu Ludwig von Mises‘ Buch „Die Gemeinwirtschaft. Untersuchungen über den Sozialismus“. In dieser und den nachfolgenden Artikeln folgen wir der zweiten umgearbeiteten Auflage von 1932.

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