Frank Shostak
Frank Shostak is an adjunct scholar of the Mises Institute and a frequent contributor to Mises.org. His consulting firm, Applied Austrian School Economics, provides in-depth assessments and reports of financial markets and global economies.
Frank Shostak Articles
According to the leader of the monetarists school, Milton Friedman, our knowledge of the world of economics is elusive. Consequently, it does not really matter what the underlying presuppositions of a theory employed to ascertain the...
It is commonly held that the long-term interest rate is an average of current and expected short-term interest rates. The short-term interest rate, it is maintained, is determined by the central bank policy rate, such as the federal funds...
We rightly associate a bubble activity with an expansionary monetary policy of the central bank. This type of policy gives rise to various undertakings that, in the absence of the expansionary monetary policy, would not have emerged. An...
Many hold that a growing economy requires a growing money supply in order to provide support to economic growth. This gives the impression that money is the means of sustenance that sustains economic activity. However, money’s main...
It is widely held that what causes recessions is a decline in the demand for goods and services. If the private sector fails to strengthen its demand, then the government should step in by raising its demand for goods and services. However...
This year the Nobel prize in economics was awarded to Joel Mokyr, Philippe Aghion, and Peter Howitt for having explained how innovation drives economic growth. According to the laureates, Mokyr in particular, the period of Enlightenment...
Some commentators are of the view that an important driver in consumer price inflation is the business drive for higher profits. According to the Ground Work Collaborative think tank report, Prices are simply the sum of costs and corporate...
For most economists and commentators, a strong labor market is the key driver of economic growth. The reduction in the number of unemployed people supposedly means that more individuals can afford to increase their spending on goods and...
Many think of the economy as being like a space ship, which occasionally slips from the path of stable economic growth and stable prices and has to be steered back by the “experts” in monetary policy. When economic activity slows down and...
According to the leader of the monetarist school, Milton Friedman, the key cause of business cycles are fluctuations in the growth rate of the money supply. Friedman held that in order to eliminate these cycles central bank policymakers...
