The Real Story of ‘Free Market’ Iceland

Email Print

The financial meltdown in Iceland was supposed to be the definitive argument against free markets, which were said to have caused that country’s terrible ordeal. Why, only a laissez-faire ideologue could cling to a belief in markets after this experience, etc. Now come Philipp Bagus and David Howden, two very young (and very bright — I think they’re both geniuses) Austrian economists, with the real story — which, it turns out, has plenty to do with central banking, moral hazard, and Austrian business cycle theory. Check out, in pdf, Deep Freeze: Iceland’s Economic Collapse.

7:45 pm on February 26, 2011