9
Nov
2005

Why money supply matters

Ludwig von Mises Institute
by Thorsten Polleit

11/08/05

For governments in general and the US government in particular, Ludwig von Mises had a policy recommendation: do not increase the stock of money any further. He made this point in 'Monetary Reconstruction' (written in 1952 and published in 1953): 'The first step must be a radical and unconditional abandonment of any further inflation. The total amount of dollar bills, whatever their name or legal characteristic may be, must not be increased by further issuance.' Why did Mises take such a position, one which would presumably provoke outright opposition from many of today's mainstream economists?

//www.mises.org/story/1956


Informant: Thomas L. Knapp
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