thick as a brick
some "austrian" dumbasses are at it again in the comment section of a mises.org blog post. after someone noted that fractional reserve banking (FRB) is "a wonderful invention of the free market", and wondered why others want to trample this freedom, he was sent this ludicrous appeal to authority so typical of unquestioning rothbard slurpers.Sounds like someone hasn't read Rothbard's What Has Government Done to Our Money?. Fractional reserve banking is counterfeiting precisely because it gives two people claims to the same money and makes any bank that practices it inherently bankrupt. Rothbard also showed in there how fractional reserve banking can't exist on a market, at least not as an institution. Other banks will simply redeem their clients' notes in order to be able to bust fractional reserve banks and to keep the confidence of depositors.followed by this dreck:
Posted by: Angelo at February 11, 2007 11:10 PM
Angelo is right, of course. Also, De Soto very carefully traces the legal, moral and logical issues of fractional reserve banking in his Money, Bank Credit, and Economic Cycles. Hans Hermann Hoppe also offers a terrific refutation of fractional reserve banking in his "Against Fiduciary Media" article which was published in The Economics and Ethics of Private Property.classic meddlesome control freakery from those traditionally claiming to honor liberty. how does one "refute" liberty? as many others have stated in fine and clear detail, there is no fraud in fully-disclosed transactions. what's next with these hyperventilating social engineers — the "refutation" of bungee jumping because people can die?
Posted by: Tom Burger at February 12, 2007 7:58 AM
listen up, shit brains: it is not up to you to run the peaceful, non-aggressive lives of others. if people want to voluntarily enter into a fully disclosed FRB situation (unlike what is done by USG to them now), you can't say a thing about it that doesn't enter into dismal science slide rule territory, issuing papal bulls from your algorithmic dunce tower. just STFU with your reflexive anti-FRB swill. because greenspan smoked cigars doesn't make cigars anti-market. same with FRB. if you don't like FRB in a theoretical free market, don't support it. oh, and STFU please. but i already said that.
it's heresy to the doctrinaires, but rothbard wasn't perfect. nearly so? yes. but he was wrong to denounce FRB globally, as is anyone who wants to treat it as fraud when fully disclosed. for all their yapping about markets, many mises.org "economists" are just a hair's width away from the chicago school or worse. you can lead an "austrian economics" poser to water, but you can't make him barf up his control freak tendencies; those are inbred, apparently. the anti-FRB crew is simply spouting the same shit as the "price gouging" 'tards, only they don't realize it because they don't have the imagination to strip FRB away from the USG racket and let the market decide.
Labels: derailleur, fractional reserve banking, government dumb
posted by saltypig @ 10:21
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