According to Mr. Friedman, the Great Depression did not occur primarily as a result of the stock market crash of the 1930s but mainly because of the lack of intervention of the Federal Reserve. When the Bank of the United States in New York crashed on December 11, 1930, he says that the Federal Reserve should have intervened and flooded the country with liquidity and hastened to ensure that no more failures took place. Instead, they were silent observers of an imploding economy and persisted with a lackluster monetary policy. » Read more: What Milton Friedman would’ve thought of today’s recession
Posts Tagged ‘milton friedman’
What Milton Friedman would’ve thought of today’s recession
August 13th, 2009Estonia’s success with a Free-market Economy or Thank you, Mr. Friedman
July 20th, 2009Today’s global economic malaise has been contributed to a variety of factors including loose lending standards, collateralization of debt, the shakiness of exotic investment derivatives and a lack of necessary regulatory controls.
I pondered upon this for a while. But, what I did other that think about this was go back in time to basic economic theory. Now bear in mind, that this is not my expertise – I’m someone who tries to understand human psychology and find a middle ground where business and humankind can co-exist in ‘profitable’ harmony, some people call that field marketing. » Read more: Estonia’s success with a Free-market Economy or Thank you, Mr. Friedman
