Thursday, October 24, 2013
"The policies advocated by the welfare school remove the incentive to saving on the part of private citizens. On the one hand, the measures directed toward a curtailment of big incomes and fortunes seriously reduce or destroy entirely the wealthier peoples power to save. On the other hand, the sums which people with moderate incomes previously contributed to capital accumulation are manipulated in such a way as to channel them into the lines of consumption."
This chart below shows the decline of the savings rate since the 1960s in the United States.
This chart below shows the expansion of Government spending since the 1940s. This chart shows the political party in the White House, but it most be noted that the Congress also plays a role in the budgetary process. The majority party in Congress during the respective time intervals is not listed in this graph.
Yes, there are other variables to consider in this simplistic analysis, but the question remains: Is there a direct correlation as Mises suggests in his quote?
Saturday, October 19, 2013
"There is no dearth of universities and institutes throughout the world. They are fulfilling the aims of education by awarding degrees for getting jobs and orienting the students in the fields of Science, Arts, and Commerce. Though this type of education leads to the advancement of science and technology and sharpens the intellect of students, it also increases the tendency of materialistic possession, which demands indiscriminate fulfillment of wants, leading to an erosion of rules, code of conduct, moral values and the ethical content from human life. The prevalent educational system has inadvertently neglected character-building and the attainment of emotional balance, without which human beings, with all their high intellectual accomplishments, cannot co-exist peacefully." Introduction, Jain Vishva Bharati Institute
Sunday, October 13, 2013
Here is an excellent article titled, "What Brought on the French Revolution?". This is an example of how the state uses war to expand the French Government, to the dissent of the French Finance Minster, Anne Robert Turgot.
Excerpts from the article: "Turgot argued perceptively that another war with England would derail his reform program, bankrupt the state, and, even if successful, do little to weaken British power."
"Turgot argued perceptively that another war with England would derail his reform program, bankrupt the state, and, even if successful, do little to weaken British power. "The first gunshot will drive the state to bankruptcy," he warned the king. It was to no avail. International power politics and considerations of national prestige took precedence over domestic reform, and the king dismissed him in May 1776. He would be proved right on all three points."
Thursday, October 10, 2013
Mr. Davies explains in this video "The Unintended Consequences of Price Controls" on how this statement is true. Next, he shows how Minimum Wage Laws are not helping the unskilled laborers, the target labor segment of these laws. In fact, an argument can be made on how they actually hurt this labor segment.
Friday, October 4, 2013
In this working paper, it discusses the merits of PayDay Lending. It is a rather contraversial topic as many people feel it hurts the clients that utilize the services. However, is this really true?
"Inflation and the Fall of the Roman Empire" discusses the how the Romans employed similar tactics of inflationary measures.