Monetary Policy and Finance

Our Credit-Financed Monetary System: A Risk to Freedom and Prosperity

Vulnerable book money and the state’s fight against cash: Our monetary system is fragile, and central banks have proven unreliable. Are there alternatives to the prevailing credit money?

A Society Living on Credit Creates Inflation and Financial Crises

A new financial crisis is on the horizon. The culprit is not a lack of regulation, but our monetary system that is based on credit, and a society that lives at the expense of the future.

Delusions of Omnipotence and Shifting Backdrops: USA and EU Launch Giant Industrial Policy Programs

The USA and the EU have recently been in a subsidy race—industrial policy by bureaucrats. The innovative forces of the market are being undermined and the inefficiency of these measures is predictable.

Socially Unjust Inflation: Why Recessions Are Inevitable and Salutary

Inflation is profoundly socially unjust. Its causes lie above all in an expansionary monetary policy, and this must be stopped. If policymakers want to prevent the inevitable recession that will follow, they will only make the problems worse.

The Inflation Problem: Short-, Medium- and Long-Term Solutions

In principle, it is the task of central banks to anticipate and combat inflationary risks. But since central banks failed to recognize inflationary pressures for a long time and then downplayed them as temporary, they can no longer contain inflation in a hurry. What solutions are feasible?

The ECB Faces a Predicament, the Euro an Impasse

With the now obvious failure of the ECB’s inflationary low interest rate policy, things are now also bad for the euro. The “whatever it takes” approach to saving the euro has reached a point where a reconsideration is necessary.

The Governments Were Financed Through by the Printing Press, And Now We Have Inflation

The rise in inflation does not fall from the sky. Inflation means general devaluation of money, not an increase in individual prices. It is the result of the money glut of the last several decades. Avoiding the dramatic consequences could make things uncomfortable.

Do We Need a ‘Great Reset’, or More Capitalism?

For many, capitalism needs to be reinvented. And yet it proved to be robust, innovative and enormously successful, especially during the pandemic. Thus, the idea of a “Great Reset” merely serves familiar anti-capitalist prejudices.

Inflation Is Always and Everywhere a Monetary Phenomenon, Even in Pandemic and War

Damaged supply chains and war are boosting prices, but they are not the only real cause of rising inflation. The problem is the central banks’ expansionary monetary policy.

What Are Russia’s Foreign-Policy Goals? How Should the West React?

Russian foreign policy is an attempt to bring former Soviet republics home to the Russian Empire and regain hegemonic influence over former Warsaw Pact states. This analysis from 2016 is particularly relevant today.

With a Carrot and a Stick: The Effects of the European Central Bank’s Negative Interest Rate Policy on the Banking System

The ECB is weakening bank profitability while strengthening it in a way that allows it to implement policy goals with the help of commercial banks. Read the new study.

The Austrian Academy 2021: Liberation from Academic Lockdown

Capitalism and the market economy are the foundations of our prosperity, which, thanks to globalization, is also spreading to places in which poverty still prevailed decades ago. At the Austrian Academy 2021 experts explain to twenty-two young people why this is so.