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I hate when people refer to our regime of interest-rate intervention as capitalism. The primary feature of capitalism is price discovery, which we have intentio
by boppo1 5y ago
I hate when people refer to our regime of interest-rate intervention as capitalism. The primary feature of capitalism is price discovery, which we have intentionally given up.
EDIT: If there are any economists out there who can point me in the direction of a primary source that elucidates the relationship between price discovery and interest rates in a way that will help me understand contemporary monetary policy as something other than political expediency, I would greatly appreciate it.
- 8note 5y agoThe defining feature of capitalism is the private ownership of capital. You can have whatever pricing mechanisms you like as long as the profits go to the owner