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Tuesday, February 12, 2019

Jonathan Spicer — Red flags emerge as Americans' debt load hits another record


How close is the US to a "Minsky moment" in the financial cycle?

Reuters
Red flags emerge as Americans' debt load hits another record
Jonathan Spicer

4 comments:

  1. You mean a "Mises/Hayek" moment. Minsky fraudulently ignores the reason for the excessive debt: Fiat money loans created out of nothing and which have nothing to do with "capitalism".

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  2. Yo, Einstein.

    ALL money is created out of nothing.

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  3. Fiat money loans created out of nothing and which have nothing to do with "capitalism". Bob Roddis

    So Austrians would ban fractional reserve lending?

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  4. So Austrians would ban fractional reserve lending?

    Austrians don't propose any legislation. However, they blame fractional reserve lending as the cause of the boom/bust cycle. How can a bank lend something it does not have? Most libertarians would ban it as fraudulent. The fact that Minsky and Steve Keen suppress this aspect of Austrian analysis that has been around for a century is also fraud.

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