Al's Insights – Wed 12 Dec, 2012

Jeff Deist talks Austrian Economics with Bob Wenzel, a man who has the ear of both Jeff and Ron Paul

Click download link to listen on this device: Download Show

This is Part 1 of a great conversation between Jeff and Bob Wenzel, a man who Congressman Paul reads almost daily.

Jeff Deist

  1. On December 12, 2012 at 4:33 pm,
    Matt says:

    Thanks Big Al.Part I was informative re: USD repatriation and inflation.

  2. On December 12, 2012 at 5:43 pm,
    Dennis M. O'Neil says:

    If you enjoyed Jeff Deist and Nob Wenzel’s discussion you may enjoy the below:

    Austrian Economics take of Santa Claus

    The Santa Claus Principle

    “The essential point in the social philosophy of interventionism is the existence of an inexhaustible fund which can be squeezed forever. The whole doctrine of interventionism collapses when the fountain is drained off. The Santa Claus principle liquidates itself.”

    “He who does not take into consideration the scarcity of capital goods available is not an economist, but a fabulist.”

    “There is no need to tell us an ampler supply of various commodities would be welcome to all people. The question is whether there is any means of achieving a greater supply other than by increasing the productivity of labor by the investment of additional capital.”

    “The traditional tax policy of the age of interventionism, its glorified devices of progressive taxation and lavish spending, have been carried to a point at which their absurdity can no longer be concealed. The notorious principle that, whereas private expenditures depend on the size of income available, public revenues must be regulated according to expenditures refutes itself. Henceforth, governments will have to realize that one dollar cannot be spent twice(contemporaneously), and that the various items of government expenditure are in conflict with one another.”

    “…neither the success nor failure speaks a distinct language audible to everybody. The experience derived exclusively from complex phenomena does not bar escape into interpretations based on wishful thinking. The naive man’s propensity to ascribe omnipotence to his thoughts however confused and contradictory, is never manifestly and unambiguously falsified by experience. The economist can never refute the economic cranks and quacks in the way in which the doctor refutes the medicine man and the charlatan. History speaks only to those people who know how to interpret it on the ground of correct theories.”
    The above quotations are form Ludwig Von Mises- Human Action – Pub 1949 – The book accurately and specifically describe the dilemmas we face today. It is tragic that the lesson were so long largely ignored by so many.

    The difference between what is and what men think they know is immense. John Maynard Keynes has for decades provided a fig leaf which has provided a cover for the falsity of modern liberalism.
    All systems without a self-correcting mechanism will cease operation.
    What is unsustainable will end. The only true question is when?

    Santa Clause or not……MERRY CHRISTMAS
    Merry Christmas HO HO HO
    I first posted the above on the yahoo Hecla Board December 20, 2010 the last time the Bush Tax cuts were due expiration. The Jeff Deist title, discussion and season made me think of the Von Mises quotes. Long before Paul Tsongas and Rush Limbaugh…Von Mises had called the overspending collectivists on their Santa Claus aspirations. I give Von Mises only one crtitique. Von Mises might be criticized for having predicted so long ago what has not already occurred. But the only reason he has not been spot on is the unforeseen fiat farcical lengths we have gone to make our financial precipice more severe. It is similar to aviation technological advances have enabled the common carrier jet to fly higher and faster than few in the 40’s envisioned. In “high finance” also known as fraudulent farcical monetary mayhem few would have predicted the lengths we would go to paper over what is not to make it what is.