programmer from tatoo designs

It doesn’t take a PhD in economics to understand what’s going on today. It’s not complicated, it’s just being obfuscated by the culprits. So, knocking Scoble for lacking the degree is kind of beside the point. Knock him for being wrong, not for whatever sheepskin he does or doesn’t have.

Don’t forget that John Maynard Keynes and John Kenneth Galbraith had PhDs in economics, and they were both dead wrong on the question of what role government should play.

There was a time when most of the people in this country realized it, and we overthrew our king.

Let me give you a bit of hope, though: Because of Ron Paul’s campaign, tens of thousands of people now understand what the Federal Reserve is doing to us.

Ron’s put things back on the agenda that had been given up as lost causes nearly a century ago. He’s made a lot of people understand that patriotism doesn’t mean supporting an empire. He’s gotten a lot of people to think twice about the drug war. Most of all, he’s gotten a lot of people to move beyond the idea that government is our mommy and it should fix everything for us.

Take the time to read Bastiat, and try to get your head around the concept of the broken window fallacy.

When you say that we got back most of our money from the S&L bailout, you’re ignoring the fact that the money spent on bailing out those failed institutions wasn’t available to fund other activities. Worse than that, it was money taken by force (taxes) to give to managers who had already demonstrated their incompetence to manage it. There’s an old saying that goes “you get what you pay for”, and that certainly holds true when you’re talking about paying incompetent speculators.

As for Gray’s claim that there are no experts, he’s full of crap. There are hundreds of people who saw this coming, said it was coming, and know how to make it as short and painless as possible, and those experts are being ignored because what they have to say doesn’t support a power-grab.

It’s all there in Mises’s book, The Theory of Money and Credit. How and why bubbles are created, how they fail, who benefits from causing these cycles, and what it takes to recover from them.

Right now, our government is trying to keep asset prices at unrealistic levels, and is interfering with the repricing that must (and eventually will) happen. They’re still following their 1929 game plan, and it’s as wrong today as it was then.

The choice at hand is whether to have a bad year or two, or a bad decade or two. If the bailout goes through, we’ll be right back in the same situation in another year, only the problem will be far larger. The idea that this can be fixed by inflating the money by another 700 billion is asinine; if it were possible to “stimulate” an economy by inflation, Zimbabwe would be the healthiest economy on the planet.