The 32-year old Congressman from Michigan is impressive, whether he’s talking monetary or foreign policy. Here he is on the Fed:
The pro-inflation argument hasn’t changed much, if at all, since this clip was made in the 30’s. The logic is just as twisted and short-sighted today as it was then. The idea that temporarily pulling demand forward, and devaluing currency, could ever produce a sustained positive effect is as ridiculous as ever.
It’s a fascinating historical piece, and well-worth watching. The pro-FDR aspects are particularly interesting/disturbing.
As we know, America did not emerge from the Great Depression until around 12 years after this clip was made, when America finally began to cut taxes and government spending. Roosevelt’s New Deal and inflationary monetary policies failed miserably. They extended and exacerbated the country’s economic woes, while enriching banks.
hat tip to Krugman in Wonderland
If anyone has information about how/why this clip was made, please leave a comment.
Interesting video from Mises about America’s Gilded Age, during which the nation experienced its fastest period of growth. A gold standard was in place during most of this remarkable period, and of course there was no income tax.
Also be sure to check this video out, which compares the men’s opposing opinions on the housing bubble. Shows how Krugman advocated it, while Ron Paul warned against it, as early as 2001.