07 May 2012
My new ebook is available on Amazon's Kindle Store
My new ebook The General Theory of Money
is available on the Kindle ebook store at http://www.amazon.com/dp/B0080WPK2I
Here is the product description:
Three times in the past century - before the Great Depression, before the start of Japan's lost decade, and before the Great Recession - central banks have committed a fatal error. From the fact that economic growth was on track and inflation low they concluded that the economy was in fine fettle. Today central banks are committing the same error and setting the stage for another Great Crash.
This book demonstrates that the root of this fatal error is a misconception of money common to the Keynesians, monetarists and Austrians that has vitiated all of economics for nearly a century.
The exposition begins by disproving the idea of money multiplication through fractional reserve banking, an idea that is regarded as so obvious that it is taught to every undergraduate. Taking this as its starting point the book then draws up an operational measure of money, which faithfully mirrors every turn of the economy since 1960. Along the way it shows that the velocity of money is stable and that the mainstream view of money as one form of wealth is erroneous. It also lays bare the errors of John Maynard Keynes, Milton Friedman and the Austrians, all of whom have one thing in common: they completely disregard financial assets.
The book is targeted at economists. But the simple measure of money that it draws up is of vital importance to every investor. If you are a mutual fund this book could save you millions of dollars. If you are a hedge fund it could save you tens of millions of dollars. And if you are the president of the United States it could save you a trillion dollars.