In a new article published by the Mises Institute, Hal Snarr digs into the ridiculous mainstream notion that nobody could have predicted the 2008 financial crisis. Of course, Snarr points out that economists with an Austrian perspective (like Peter Schiff) were well-aware that a “Fed-induced” boom and bust were inevitable.
“In a 2010 Bloomberg Television interview, Alan Greenspan said, ‘The general notion the Fed was propagator of the bubble by monetary policy does not hold up to the evidence. … Everybody missed it — academia, the Federal Reserve, all regulators.’
Everybody missed it? Not according to Axel Leijonhufvud. In 2008 he wrote, ‘Operating an interest-targeting regime keying on the CPI, the Fed was lured into keeping interest rates far too low far too long. The result was inflation of asset prices combined with a general deterioration of credit … a variation on the Austrian overinvestment theme.’ Randall Forsyth concurred, writing the following in early 2009, ‘The Austrians were the ones who could see the seeds of collapse in the successive credit booms, aided and abetted by Fed policies.'”
Continue Reading the Full Commentary Here
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Why the Mainstream Fails to Understand Recessions
In a new article published by the Mises Institute, Hal Snarr digs into the ridiculous mainstream notion that nobody could have predicted the 2008 financial crisis. Of course, Snarr points out that economists with an Austrian perspective (like Peter Schiff) were well-aware that a “Fed-induced” boom and bust were inevitable.
Continue Reading the Full Commentary Here
Follow us on Twitter to stay up-to-date on Peter Schiff’s latest thoughts: @SchiffBlog
Interested in learning about the best ways to buy gold and silver?
Call 1-888-GOLD-160 and speak with a Precious Metals Specialist today!