- Table View
- List View
This study reviews developments in the European Monetary System from the beginning of 1983 to August 1986;it updates and complements an earlier study prepared by staff members of the International Monetary Fund and published Occasional Paper No. 19, which covered the time period from the inception of the European Monetary System to the end of 1982.
Explore the inevitable collapse of the fiat monetary system Paper Money Collapse: The Folly of Elastic Money, SecondEdition challenges the mainstream consensus on money andmonetary policy. While it is today generally believed that thetransition from 'hard' and inflexible commodity money (such as agold standard) to entirely flexible and potentially unlimited fiatmoney under national central banks allows for superior economicstability, Paper Money Collapse shows that the opposite istrue. Systems of highly elastic and constantly expanding money arenot only unnecessary, even for growing economies, they are alwaysextremely destabilizing. Over time, they must lead to substantialimbalances, including excessive levels of debt and distorted assetprices, that will require ever faster money production to sustain.Ultimately, however, there is no alternative to a completeliquidation of these distortions. Based on insights of manyrenowned economists and in particular of the Austrian School ofEconomics, the book explains through rigorous logic and in preciselanguage why our system of flexible fiat money is incompatible witha market economy and therefore unsustainable. Paper money systemshave always led to economic disintegration--withoutexception--throughout history. It will not be different forour system and we may be closer to the endgame than many think.The updated second edition incorporates:A new introduction and an extended outlook section thatdiscusses various "endgames"Responses to criticisms, alternative views, and a criticalassessment of 'solutions'Comments on recent policy trends, including attempts to exitthe 'easy money' policy modeAn evaluation of new crypto-currency BitcoinPaper Money Collapse: The Folly of Elastic Money, SecondEdition clarifies the problem of paper money clearly andeloquently, and proposes multiple routes to a solution.