Don’t miss these two links today, for a bit of current and ever-present economic analysis.
- EPJ (a site I check 15 times a day): Bob Wenzel, Austrian economist and blogger, was asked to give a speech at the New York Federal Reserve, to explain the Austrian theory of the business cycle and give words as to how the economy can be improved (it seems the Fed is taking any and all advice, these days). Needless to say, what they wanted to hear was far from what they got. Concise, clear, and direct, some are saying that this speech is the greatest economic speech given in the halls of the Federal Reserve ever. You can read it at EPJ, here. The reaction to the speech can be found here.
- ZH: “[Many] factors played [a] part [in the current economic crisis]. However one shines out above and beyond any other: the intellectual fallacy that all GDP is equal, and that GDP growth — even debt-driven growth, even growth based on lies, fallacies and errors — paves the road to the future.” Here is an easy explanation of why the same tired NeoKeynesian fallacies that we hear today got us into this mess in the first place.