Milton Friedman explains role of gold in Great Depression.

Milton Friedman explains what happened during the great depression and what the role of the federal reserve is during economic ups and downs. This is from a 10 hour documentary series which can be viewed online at: http://www.ideachannel.tv/

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  News & Politics

[clearasvodka]

Keynnes was wrong. The MOST important factor in the purchasing power of currency is the money supply. When you create too much of it you almost always get inflation. Inflation is like a sneaky tax that robs the public of purchasing power. Since Keynnes' theory was adopted, the U.S. dollar has lost 95% of purchasing power. In relation, income has not increased from year to year at the same rate resulting in a lower standard of living....

[SuperMagix7]

ron paul will abolish the federal reserve if he is elected. vote rp 2012

[Jon Stone]

Roosevelt was an enemy of the U.S.... His pen destroyed what was left of our Republic!

[jls0037cslewis1]

Keynes was a poison pill, a British man, an oligarch and an enemy of Roosevelt and the US.

[David Oakes]

it's the job of the Fed to regulate the monetary supply; there is no excuse for their lack of action.

[sabdow]

-- To briefly add, it takes time to identify problems. First you need hard statistical data that there IS a problem. Then you need time to pass for you to correctly perform scientific methods to identify where the problem is coming from (example, which Asset class is causing such a catastrophe)

-- Then there's time in implementing an efficient solution and the type of solution.

-- So nothing works perfectly effectively. What if you get the whole problem wrong in the first place? Not black/white

[sabdow]

The important thing to remember is this:

-- Theres an economic theory explanation for most problems in hindsight. You got the Monetary theory boys (Friedman), you got the big spending Keynsians, you got some Austrian economists (more classical and orthodox), you got some new theories like 'Real Business Cycle Theory'

-- Economists are just financial nerds who are good in hindsight. You can fix half of all world problems if you correct identify the problem. THATS the most important issue first.

[MrSaemisch]

This video is the best explanation of the monetarist theory of the great depression I have ever seen. Too bad only the Ron Paul idiots seem to be posting....

[adamcook717]

That's great in theory, but in actuality he probably wouldn't or would die before succeeding.

[delxart]

Keynes really only advocated deficit spending to stimulate the economy when there is not enough aggregate demand. Those levels of debt are created when the government endlessly spends itself into a hole by the cutting revenue irresponsibly (taxes) or increasing spending when the economy is growing and surpluses should have been decreasing the deficit. A perfect example of this is George W. Bush's policies (Obama's are only recessionary spending) and Greece.

[frankstrawnation]

Sorry, but the public debt is the principal cause of problem in Japan and proves that keynesianism is wrong anyway. With its enormous debt (230% of GDP), the fear has a real cause. And we must remember that an increasing of public debt is a recipe of Keynes. Therefore, is not surprising if a problem created by Keynesianism will not be solved with more Keynesianism.