RETHINK
ECONOMICS
RETHINK
ECONOMICS
... and receive personalised notifications on
new pluralistic content directly into your inbox!

6. Business Cycles | Jonathan Newman

Jonathan Newman
Mises Institute, 2015
Level: beginner
Perspective: Austrian Economics
Topic: Crises, Money & Debt
Format: Lecture
Duration: 00:32:35
Link: https://www.youtube.com/watch?v=UpHa4loBNrE

The Austrian business cycle theory as developed by Mises and Hayek is explained. First business cycles are distinguished from the normal market process. After doing varying time preferences of individuals are explored and integrated into a loanable funds framework. Then an expansionary scenario based on increased savings is outlined and contrasted with an unsustainable expansion is induced by monetary policy of the central bank. The latter accordingly leads to malinvestment of resources and to a recession. Lastly, the Austrian business cycle theory is contrasted with a very rough outline of Keynesian understandings.

Go to: 6. Business Cycles | Jonathan Newman

Donate

This project is brought to you by the Network for Pluralist Economics (Netzwerk Plurale Ökonomik e.V.).  It is committed to diversity and independence and is dependent on donations from people like you. Regular or one-off donations would be greatly appreciated.

 

Donate