The world often seems to be scared of deflation and, arguably, this creates an asymmetric bias towards inflation. For example, … Continue reading “Book review: Philipp Bagus’ “In Defense of Deflation””

The ECB has finally launched its own open-ended Quantitative Easing (QE) planning to buy securities worth of €1.1tr euros. This … Continue reading “Price deflation is not a disaster, but a blessing”

Thomas Piketty´s book, Capital in the Twenty-First Century, on growing inequality in capitalism, has become a bestseller. Piketty offers much … Continue reading “How monetary inflation increases inequality”

A second aid package to the Greek government hinges on severe austerity measures. Why doesn’t Greece simply default and leave the … Continue reading “Why doesn’t Greece simply default?”

Italy, Spain, Belgium and Portugal will need to raise over $800 billion in 2011 to cover roll-over debt and new … Continue reading “The Tragedy of the Euro”

While quantitative easing has received much press, qualitative easing has been neglected. Qualitative easing consists of policies that deteriorate the average … Continue reading “Qualitative easing”