In early July 1944, delegates from 44 countries gathered at the Mount Washington Hotel in Bretton Woods, New Hampshire. A three-week summit took place, at which a new system was agreed to regulate the international monetary and financial order after the Second World War.The U.S. was already the world’s commercial powerhouse, having eclipsed the British […]
When you type a website address into a browser, you might have noticed that the letters “http” appear at the front. “HTTP” stands for Hypertext Transfer Protocol. In typing a Web address, you are actually sending an HTTP command to transmit that website to you. Hypertext Transfer Protocol is the means by which information is […]
In 2012, money mandarins running the European Union chose stagnation over restructuring. Here’s a consequence of that choice: expectations for a self-sustaining economic recovery keep getting crushed.Two years ago, European Central Bank (ECB) chief Mario Draghi promised to do “whatever it takes” to hold the eurozone together. He bluffed nervous investors into believing in a […]
Here’s a fun fact: Although we all hate the U.S. dollar, as it continues to hemorrhage wealth, its foothold as the world’s reserve currency isn’t going to disappear overnight.A Russian gas deal with China won’t change that — as we’ll highlight below.But before we get to the nitty-gritty, let’s dive into a story that’s right […]
Franklin Delano Roosevelt famously used the term “forgotten man” in a 1932 speech to describe those at the bottom of the economic pyramid who, he felt, government should aid.But the originator of the phrase “forgotten man” had a whole different meaning in mind. He aimed to expose the seeming good intentions of government to reveal […]
“As the nation’s central bank, the Federal Reserve derives its authority from the Congress of the United States. It is considered an independent central bank because its monetary policy decisions do not have to be approved by the President or anyone else in the executive or legislative branches of government, it does not receive funding […]
The Keynesian disaster recovery plan has been to lower rates, force people to take more risk in search of yield, and entice others to borrow and spend and, magically, more jobs will be created. If people won’t buy stocks, central banks will.Back in 2011, Ben Bernanke, when asked if QE2 was driving up stock prices, […]
According to the Bureau of Labor Statistics, consumer prices are rising at a 2.1% annual rate. This suggests to us that the current stock market boom will die with a bang, rather than a whimper.Fed economists say they don’t think inflation rates are rising. They think the most recent reading is a fluke. But why […]
Real progress happens through real people, ideas, and innovations. Not by legislation argued and debated in Congress. Right now, one of the most influential technologies is changing the way people do business. And reinventing the future in the process.
As the world gets more digital, people forget about the benefits of transacting in cash. And government officials know that.
The experts will tell you the recession is over, but they’re only torturing the data to hide the truth. The economy never recovered from the downturn it experienced. But the downturn happened in 2000, not 2008. The country’s been in the middle of a 14 year recession and hardly anyone knows the truth.
Every time Bitcoin crashes, it winds up at a price greater than it’s previous high. Yet the experts still call it a currency fad that will fade away. But a little over a year since it really took up, the digital currency is still going strong, and is once again seeing its price rise. But is there another reason why people are buying Bitcoins.
All paper currency has a shelf life. It could be 5 years or 500 years, but at some point, the value of any paper currency eventually reaches zero. That's why, for centuries, people have turned to one shiny metal to safeguard their personal store of wealth. And, as Jim Rickards explains, you still have that option. Read on...
Edward Snowden’s one year visa in Russia expires at the end of next month. With only a few weeks left before he finds himself without a safe country to live in, he sat down to give an exclusive interview. Here are the most important things he wants you to remember from his recent sacrifice.
It’s a destructive cycle that comes around everytime your politicians ask you to take to the polls. The government’s meddling creates unexpected problems that eventually overshadow the planners’ original intentions. But that only leads the way for even more interventions.
Politicians love inflation. It’s a way to pay for the government’s debts without upsetting the public by raising taxes, or their special interests by cutting government. So they’ll flood the economy with easy money and eat away at your savings. But that’s only part of the story...
Obama recently claimed this was the “Decade of the Brain”. But it not the first time the government made that promise. The last time they did it, they wasted millions of your tax dollars. Now they’re back for round two. But this time, their failure could mean more than squandered money. It could mean making Alzheimer’s even worse for those who suffer from it.
“So we have, indeed, had a disappointingly slow recovery, and our consistent expectations for a pickup in growth have been dashed over a number of years… And the labor market is behaving in some perplexing ways and showing patterns that are novel.”–Federal Reserve Chairperson Janet Yellen in a speech to the Economic Club of New […]
Politicians who love Big Government love talking about the minimum wage. It’s one of the few policy where they don’t have to ask their constituents to pony up the extra tax dollars to pay the higher costs. Instead, they pass the buck to business owners. They can’t print money, nor can they can force you to pay more. So they cut back hours and fire the very workers politicians tried to help. But that’s how things go when you mess with the economy.
Economists aren’t physicists. But they sure do like to act like they are sometimes. When scientists reach a consensus about something, it usually means they’re breaking new ground on a theory based on hard facts and proven evidence. When economists agree on something, it shows the limitations of a field that tries to model how humans are supposed to behave. And that’s where the danger lies. Especially when it comes to things like U.S. Treasurys.
Ask a D.C. insider what’s the best way to solve the debt crisis. Nine times out of ten, they’ll recommend taking on more debt. That’s how things operate in the Potomac swamp. Up is down, right is left, digging yourself into more debt is the best way to get out of it. But it wasn’t always like this. In fact, there used to be common sense when it came to the economy. So where did it all go wrong?
Just because you’re retired doesn’t mean you have to stop working. Especially now that you have all the time in the world to do what you really want. Entrepreneurs don’t only come out of Silicon Valley. They come from all walks of life, from all different ages. If you’re retired and want to stay active while you relax, then find out the steps you need to take in order to start, manage, and grow your next small business.
Austrian economics does more than tell you what happens when the government disturbs market forces. In the hands of knowledgeable investors and entrepreneurs, it can tell you exactly what to expect from the market. Market behavior depends on how people behave. And how people behave is central to the Austrian perspective.
The U.S. dollar has been the world's reserve currency for almost a century, and already there are signs it may be in decline. But that doesn't mean it's not still valuable. On the contrary... As Chris Mayer explains, there are many reasons the U.S. dollar will remain relevant on the world stage for years to come. Read on...
The government will do whatever it takes to make sure it has enough of your money to fund itself. On the surface you might think that means enduring a grueling audit. But the IRS and the government is more than willing to ignore your privacy in the cold relentless pursuit of the money they think they deserve. As they get bigger and bigger every year, the smaller and smaller your paycheck becomes as they leach off it.
World War II might have dragged the country out of the Great Depression, but it did so at a great price. Central planning took center stage, and politicans and bureaucrats suddenly knew what was best for America, the economy, and your life. On top of that, they replaced the free market with a new economic system… Creditism.
Argentina is suffering the ravages of government debasement of the currency -- i.e., inflation, the process by which government pays for its ever-increasing debts and bills by simply printing more paper currency. The expanded money supply results in a lower value of everyone’s money, which is reflected in the rising prices of the things that money buys.
Is there anything that we can do to stop the government’s data mining of our email, phone calls, and other digital habits?
I moderated an entire panel on this subject during FreedomFest in Las Vegas last week. The room was packed from front to back, standing room only. Clearly, there is a great deal of interest in the topic.
Or maybe “fear” is a better word.
No matter how much people have come to expect that government is not really protecting us, it is still destabilizing to realize that our government is conspiring against the rights, liberties, and privacy of the public.
It’s true that for years, we’ve heard rumors that the government had been spying on our private online activities. But the revelations from the Edward Snowden files have been alarming, to say the least. Every few days, there are more. It’s not just you and I who are upset. Diplomats and politicians the world over are rocked at the news that the U.S. is spying on their emails as well.
Each new leak adds to the picture. And the seriousness and truthfulness of it is further reinforced by the U.S. government’s response. In fact, they have not apologized, backtracked, or even shown an ounce of embarrassment about the program, let alone fixed the problem or put in guarantees that it won’t happen again. They are hounding the messenger and attempting to stop him from gaining asylum somewhere in the world.
This is the way that American imperial power is being used. Not to advance liberty, but to turn the big guns on people who expose hypocrisy and show the truth.
The panel began with entrepreneur Terry Easton, who gave a good roundup of the extent of the surveillance and suggested alternatives. Encrypted email, encrypted chat, alternatives search engines to Google that don’t track your online history, browsing in incognito windows, using Linux instead of Microsoft’s Windows or Apple’s iOS. All of these approaches figured into his solution set.
My only caution, which I shared as panel moderator, is that it is actually possible to be too paranoid about the surveillance. Not everything we do is necessarily private. Trying to make it that way might amount to a gigantic inconvenience with very little payoff. Familiarity with encrypted solutions is essential, but to throw your whole digital life into upheaval is giving into fear more than is probably necessary.
On the same panel, Anthony Gregory of the Independent Institute provided some historical perspective. Most governments in most times have spied on their citizens. They love the data. The more data the better. The first great wave of revelations of this in modern times came out in the 1970s, when it turned out that that Nixon had used the power of the surveillance state not to protect the citizens, but to spy on his political enemies.
The most surprising comments on the panel came from Georgetown University law professor Randy Barnett. He is interested in the path of litigation against government activities. He is the man who argued the suit against Obamacare in the Supreme Court.
As he explained, the first step in bringing such cases is to find the thing about the legislation or the activity that is unprecedented. If you can do that, you can get away from the endless bog of case law and have the law or practice judged on its own merits.
For example, in the case of the Obamacare lawsuit, he argued that the mandate that employers collect premiums for a particular privately provided program is unique in the history of legislation. Unfortunately, that argument didn’t carry the day in the end, but it at least gave the plaintiffs an excellent basis for challenging and arguing the suit. Barnett further drew attention to the public education benefits for even losing cases.
So how might he argue the case against the NSA’s indiscriminate spying? Here was a surprise: He said it is a blatant violation of Fourth Amendment protections against search and (in particular) seizure. Instead of physical property, the feds are searching and seizing digital property that should belong to us and those with whom we want to share it. He further pointed out that what the NSA is doing actually has no basis in any legislation.
Barnett thinks of courts and judges as highly politicized institutions that are often swayed by public opinion. If the public is seething mad about a topic, that fact alone can turn around a case. In this sense, it actually matters what people say and think about real-life political issues. Efforts at educating our fellow citizens, contacting representatives through digital swarms, and even wearing shirts of protest can actually make a difference.
I’m not one for the antics of political agitation and activism. So I found his point to be a real challenge to the way I tend to view the world. It comes down to three points: 1) judges and juries are hugely influenced by public opinion, 2) you can’t trust either to do the right thing, but 3) litigating in favor of freedom and human rights can make a real difference even if you end up losing the case in the short run.
How should we respond to the news that the surveillance state is all around us? Professor Barnett urged us not to give up and go live in caves. On the contrary, he said, we need to be more active and public and jealous of our rights than ever before. The government cannot, in the end, control the thoughts of everyone in the population, and the more people who refuse to be intimidated, the harder the job of the government becomes.
What about the rest of FreedomFest? It was a gigantic conference. What I reported above constituted a tiny fraction of this incredible event that attracted some 2,500 people. It drew many academics, journalists, activists of all ages, vendors, investors, and a huge variety of professionals in all fields. And of course, Laissez Faire Books was there in full force. The level of fun was totally over the top. But the content of every session I attended was just spectacular.
I spoke on many panels, did what seemed like dozens of interviews, and even appeared on the Stossel show, which airs this Thursday night on Fox News, at 9 p.m. EST. There’s too much to report, but I can’t pass up the chance to mention another of my favorite panels.
We did an entire session on Bitcoin. Doug French and I spoke along with legendary libertarian activist Amanda BillyRock and anarchist entrepreneur Jeff Berwick. Can Bitcoin replace government currencies? We all said yes, but… there will be many bumps on the road. Some related to the natural pace of economic development, but others entirely artificial and created by government.
This panel caused our new book on Bitcoin by James Cox to be a hot seller. It is short, technically sound, rhetorically friendly, and loads of fun. The name of the book is Bitcoin and Digital Currencies: The New World of Money and Freedom. It provides an excellent introduction to the current situation and the likely future of Bitcoin, explaining all the significance of this implausible success for our lives and freedom.
This was the first time that any FreedomFest panel had addressed such an edgy topic as this. Young and old, professional and activist, were buying this book. And people are learning that it is not as hard to own as you might think.
This panel really sparked some serious interest. An alternative to the dollar? “I’m in.” To me, this is an indication that digital currencies have not only arrived, but will continue to play an important role in the economic development of our times.
Special congratulations are due to Mark Skousen for putting together such a wonderful event. It is rather remarkable to consider how many hats he wears. He just completed an excellent book on investing and the Austrian School, A Viennese Waltz Down Wall Street, yet he has also been the visionary behind one of the greatest and more encouraging freedom-oriented events on the planet.
My final takeaway from this event: There is cause for hope, and plenty of it. The future is made not by the NSA, not by the Fed, not by the Department of Homeland Security, and certainly not by the Obama administration. It will be made by the insuppressible longing of the human spirit to live free and make a great world for ourselves.