ALL BLOG POSTS
The New York Times reports on the Zimbabwe's so-called "coin problem":
This morning I am flying to London so I think it is an excellent opportunity to celebrate the long Danish-British trade relationship.
See this new excellent interview with George Selgin. I think it is harder to find any bigger expert on Free Banking theory and Free Banking history than George. Great stuff - even though I do not agree with everything (yes, believe it of not - I do not agree with everything George is saying).
European news over the weekend:
When policy makers mess around with the price mechanism it nearly always have negative consequences – things certainly gets no better when they do that to “solve” problems created by a failed monetary policy. New York Times has a story that confirms this once again.
One of the most interesting aspects of US monetary policy since 2008 is that while Ben Bernanke certainly is not ignorant of economic history or monetary theory it seems like the Fed under his leadership has not responded nearly as aggressive to the crisis as one should have expected if one from reading Bernanke's academic work. Furthermore, one can question why the Bank of Japan for more than a decade has failed to seriously address the deflationary pressures in the Japanese economy. Similarly why have central banks in for example the Baltic States, Bulgaria and Denmark maintained an unwavering support for keeping their currencies pegged to euro while the euro crisis has continued to escalate?
Even though I am a Danish economist I am certainly no expert on the Danish economy and I have certainly not spend much time blogging about the Danish economy and I have no plans to change that in the future. However, for some reason I today came to think about what would have been the impact on the Danish economy if the Danish krone had been pegged to the price of bacon rather than to gold at the onset of the Great Depression in 1929. Lets call it the Bacon Standard - or a the PIG PEG (thanks to Mikael Bonde Nielsen for that suggestion).
Back from my trip to Riga and Stockholm and two books had arrived in the mail from Amazon.
I am sitting in Riga airport and writing this. I have an early (too early!) flight to Stockholm. I must admit it makes it slightly more fun to sit in an airport when you can do a bit of blogging.