The net result remains: private loans will utilize existing resources and capital far better than government loans. Government loans will waste far more capital and resources than private loans. Government loans, in short, as compared with private loans, will reduce production, not increase it.
Henry Hazlitt
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One of Keynes’s nice insights, from book oThe Economic Consequences of the Peace (1919):
By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. By this method, they not only confiscate, but they confiscate arbitrarily; and, while the process impoverishes many, it actually enriches some. [...]
Ai note: following someone because of charming manner is stupid. Are you stupid?
Buyer Behaviour:
‘The President is lying thorugh his teeth. And because he has a nice smile and a charming manner…we overlook this? We give him a pass? Has Bush Derangement Syndrome gripped the American populace into some sort of mass hypnotic psychosis?
But the GM [...]
“The first panacea for a mismanaged nation is inflation of the currency; the second is war. Both bring a temporary prosperity; both bring a permanent ruin. But both are the refuge of political and economic opportunists.” Ernest Hemingway
Government
Twain observed in 1873: “I never can think of Judas Iscariot without losing my temper. To my mind Judas Iscariot [...]
Month ago we posted article German 1 Trillion Toxic Assets Problem, where a report by Sueddeutsche Zeitung cites an internal paper by the banking regulator that puts the total of bad assets in the German banking system at €816bn. This report caused outrage among German officials, as always when someone uncovers the truth. The above mentioned [...]