Friday, 01 August 2014

Monthly Archives March 2011

Where Did the Free Banking Debate Go?

March 31, 2011

The discussion in monetary institutions is becoming increasingly relevant in economics. How to deal and avoid financial crisis is an important issue. The recent financial crisis showed that economics might not be as suited to foresee and deal with these problems as the theory seems to suggest. This analysis requires a benchmark in the same […]

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“France Begins Pressure for Sound World Money” – 1933

Posted by Tom Duncan
March 31, 2011

“‘World leaders must understand that re-establishment of international confidence is more important for recovery in every country than the artificial measures from which people sometimes expect salvation,’ Daladier said. He hoped the world would not suffer an international monetary war to come on top of the long war of tariffs… the French side of the […]

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“China Warns of ‘Dollar Trap’” – Fortune

Posted by Tom Duncan
March 31, 2011

“A top Chinese economist warned that the world has fallen into a “dollar trap,” as U.S. trading partners lack an alternative to the greenback and can’t prevent the Federal Reserve from printing more money. The arrangement means big holders of dollars – such as China, which holds some $3 trillion of foreign exchange reserves, mostly […]

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“The GOP’s New Gold Rush” – Tim Murphy

Posted by Tom Duncan
March 30, 2011

“After three decades of railing against America’s monetary policies, Congress’ most famous gold bug and anti-Fed crusader, Rep. Ron Paul (R-Texas), doesn’t have much to show for his efforts on the national level. But Paul’s message finally seems to be gaining traction outside Washington. Since the beginning of 2009, lawmakers in more than a dozen […]

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“ECB Cannot Tailor Monetary Policy to Individual Countries” – FT

Posted by Tom Duncan
March 30, 2011

“The benefit of maintaining price stability in the eurozone as a whole, and thereby keeping the inflation risk low, becomes even greater in times of crisis. At the height of the financial crisis, the ECB lowered interest rates aggressively in the face of downside risks to price stability. To the extent that these risks tilt […]

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“Our House Is Not in Order” – FDR

Posted by Tom Duncan
March 30, 2011

“For the fiscal year 1934, based on the appropriation bills passed by the last Congress and the estimated revenues, the deficit will probably exceed $1,000,000,000 unless immediate action is taken. Thus we shall have piled up an accumulated deficit of $5,000,000,00. With the utmost seriousness I point out to the Congress the profound effect of […]

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