History / Warfare

The July Crisis: Austria Starts Shooting

Today (or tomorrow depending what time zone the reader resides within) marks the 100th anniversary since the naval shelling that precipitated the First World War, fired from Austro-Hungarian warships cruising on the Danube and Sava Rivers, began to fall on Belgrade.  Matthew Yglesias has not (as of yet) marked this horrific anniversary; though undoubtedly he … Continue reading

Economics / History

Aggregate Demand Dominance: The Deflation Ratchet and the Great Depression

The Utter Failure and Stupidity of the Gold and Silver Standards: Part 3 In a previous posting, I described the tendency for the gold standard to be “mean reverting” as the primary enforcement mechanism of the fixed-exchange system that prevailed for over two centuries prior to the Great Depression. This tendency is easily recognizable in … Continue reading