Tuesday, July 28, 2009

Credit Expansion, Crisis, and the Myth of the Saving Glut

For those seeking economic education in a world gone mad with Keynesianism, there are few in the living world in the same league as Uncle George Reisman. As a sort of 'Yin' to the 'Yang' of the ghost of Uncle Murray, Uncle George is off the main pathway of hard core Misesianism, beating out a track of his own. However, for sheer clarity of economic thinking only perhaps Frank Shostak is currently in the same league of living commentators. Long may Uncle George keep beating out his track, as he does so eloquently with his latest article.

It's a bit of a monster piece, however, so if you want some sort of appetizer beforehand, try out his much lighter piece on the downfall of General Motors.

For a light soufflé to follow the main course, you may also want to try out Frank Shostak's latest piece on the US economy:

=> Is the US Economy Close to Hitting Bottom?

1 comment:

0ffh said...


Surely you must mean Friedmanism, unless you think of that as a subcategory of Keynsianism.
The mistake they have in common is that you can predict and steer economic growth, but Friedman is the one who wants to use the money supply for this. As Hayek has convincingly shown, that must remain a pipe dream.