Hayek’s Work Helps Explain the Link between Ultra-loose Monetary Policy and Political Instability

by Gunther Schnabl The European Central Bank will increase the overall volume of its bond purchase program to 2,550,000,000,000 euros by September 2018. The main refinancing rate will remain at zero. Mario Draghi has stressed that this policy shall continue until inflation picks up sustainably (which is unlikely to happen in the foreseeable future). The … Continue reading Hayek’s Work Helps Explain the Link between Ultra-loose Monetary Policy and Political Instability

Planning and Democracy

by Mario Rizzo     The Senate could not agree on an auto bailout package. So what may happen now? The Treasury may lend the Big Three about $15 billion under the authority given to it in the TARP legislation to buy any financial instrument necessary to promote financial market stability. This authority was thus … Continue reading Planning and Democracy