Looking at the Economic Myth of the “Soft Landing”
Higher interest rates need not cause an economic slump?
Continue readingboom bust
Is a Recession Simply a Decline in GDP? What Does That Mean?
Contrary to popular thinking, recessions are not about negative growth in GDP for at least two consecutive quarters…
Continue readingThe Real Policy Error Is Expanding Debt and Calling It “Growth”
Waste is not growth, and neither are the unlimited expansion of debt and speculative bubbles…
Continue readingContra Ben Bernanke, the Gold Standard Promotes Economic Stability
In the past, the alleged instability of economies on the gold standard took place because the authorities were…
Continue readingIs The Inflation Boom Quickly Turning Into An Inflation Bust?
It seems like the inflation boom is quickly going bust…
Continue readingHistory is not on the side of the crypto’s grave dancers
This was the case with bicycles and the Internet, and it will most likely be the case with crypto…
Continue readingA Sign That Gold Stocks Have Finally Put In Their Long Overdue Bottom?
Encouraging action in gold stocks…
Continue readingFederal Reserve Policies Aimed at Creating Price Stability Bring About Economic Instability
The ever-growing interference with the workings of markets drives the US economy toward persistent economic impoverishment and…
Continue readingAnother Large Real Estate Crash Is Coming Soon?
The Fed is causing more painful and volatile boom and bust cycles…
Continue readingHow the Fed’s Tampering with the Policy Rate Affects the Yield Curve
A visible downtrend in the spread does not bode well for economic activity in…
Continue readingWhen Will The Fed Give Up On Raising Rates?
Every artificial economic boom created by The Fed must have an economic bust. Manipulating interest rates lower creates distortions in…
Continue readingHow GDP Stats Create the Illusion of Fed-Fueled Economic Growth
Bubble activities cannot sustain themselves without support from central bank monetary pumping…
Continue readingHow Much Control Does the Central Bank Have over Interest Rates?
The central bank can manipulate the interest rate to whatever level it desires. However, it cannot…
Continue readingBefore a Bust, There Is Always a Boom (and Malinvestment)
Once banks start to lend money not backed by savings, this sets in motion the…
Continue readingThe Stimulus Boom Is Already Over: Now Comes Stagnation
Cheap money, increased public intervention, and massive stimulus plans have not worked as…
Continue readingSound Money (Gold) Versus Fiat Money (Unbacked): Effects On The Boom-Bust Cycle
The key to the emergence of the boom-bust cycle is the expansion in money supply out of “thin air.” The increase in the supply of gold has…
Continue readingWhy Monetary “Stimulus” Won’t Prevent an Economic Bust
Economic bust is going to emerge regardless of whether the Fed is going to tighten its interest rate stance or not…
Continue reading“Mom Jeans” Are Now an Economic Indicator
The monetary world has changed mightily while fashions have changed. Hemlines go up and down, jeans from skinny to boxy. The money…
Continue readingHow Easy Money Creates the Boom-Bust Cycle
Whenever the monetary stance is loosened, it sets in motion an economic boom by means of the diversion of real savings from wealth generators to…
Continue readingPrinting Money at a “Constant” or “Stable” Rate Won’t Prevent Boom-Bust Cycles
A pure gold standard is immune from boom-bust cycles, since on the pure gold standard an increase in the money supply does not trigger an…
Continue reading