Edge of Chaos is a political podcast starring Joe Ryan and Neurotoxin. Its aim is to have a free-flowing discussion of news and current events that also examines the empirical outcomes of public policy, avoiding biases based on ideology and policy intentions. Listener discretion is both advised and encouraged.

Thursday, June 20, 2013

Stocks Dropping Due To Announced End Of QE2 Is A SERIOUS Warning Sign

People, this is sick! We have a stock market that responds primarily not to economic growth, not to jobs or unemployment figures, not to production and consumption indexes - but to the central bank's stimulus plans. Stimulus is supposed to improve those things and motivate investors that way. How is it economic "recovery" when we're clearly directly dependent on stimulus to the point that investors neglect other measures? We think of von Mises and Marx as being on opposite ends of the economic spectrum; but they BOTH wrote about the dangers of assigned value being more important than market value - and we're experiencing this exact effect on a global scale. One again, the first thing I would do with a time machine is go castrate Keynes's father.


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