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Aren't the boom and bust cycles more due to central banks, rather than capitalism, itself? I have read it successfully argued that the United States hasn't yet
by raintrees 12y ago
Aren't the boom and bust cycles more due to central banks, rather than capitalism, itself? I have read it successfully argued that the United States hasn't yet practised true capitalism, but rather forms of mercantilism.
- raintrees 12y agoFound the book: How Capitalism Saved America, Thomas J. DiLorenzo, 2005.
- gizmo686 12y agoI suspect that boom and bust is more fundamental than that. The essential problem seems to be that when there is an opportunity for profit, capitalism very efficiently drives us to exploit said opportunity. In almost all cases, this causes a usage of said opportunity beyond sustainable levels leading to an inevitable bust.
- breakyerself 12y agoI'm going from memory here. Not 100% positive, but I believe Andrew Jackson abolished central banking and Woodrow Wilson brought it back. There were no shortages of booms and busts in between. The period with the least booms and busts was post WWII to probably the S&L crisis in the 1980's