Privatize Everything

From: Mauricio Canedo Fernandez

Sent: Monday, September 21, 2020 12:39 AM


Subject: Feedback on High School Paper on Housing Bubbles and Business Cycles

Hello Mr. Block,

During June I made a document for a debate (which sadly didn’t take place) in my grade 12 economics class, which I think has some interesting insights and is a good summary of the Austrian Business Cycle Theory. I know it could seem arrogant for me to ask you for feedback, but I would love it if you could set aside some minutes of your time to give me constructive criticism on the document.


Mauricio Canedo

PD: I love your Mises U lectures on YouTube, especially “The Case for privatization – of everything”

Dear Mauricio:

Where shall you be going to college? Wait, you’re already at University? Guelph? Do you know Prof. Glenn Fox?

I hope this biblio will be of help to you:

Anderson, 2001, 2003, 2007; Beale, various dates; Block, 2010; Blumen, 2002, 2005; Corrigan, tba; Crovelli, 2006; DeCoster, 2003; DiLorenzo, 1999; Duffy, 2005A, 2005B, 2005C, 2005D, 2006, 2007A, 2007B, 2007C, 2007D;  Economics of contempt, 2008; Englund, 2004, 2005A, 2005B, 2005C, 2005D, 2006, 2007, 2008; French, 2005; Grant, 2001; Karlsson, 2004; Mayer, 2003; Murphy, 2007, 2008; North, 2002, 2005; Paul, various dates, 2000, 2002; Polleit, 2006; Ptak, 2003; Rockwell, 2008, 462; Rogers, 2005; Rothbard, tba; Schiff, Undated A, Undated B, Undated C, Undated D, 2003A, 2003B, 2003C, 2004A, 2004B, 2005A, 2005B, 2005C, 2005D, 2006A, 2006B, 2006C, 2006D, 2007A, 2007B; Sennholz, 2002; Shostak, 2003, 2005; Thornton, 2004, 2009, Undated; Trask, 2003; Wenzel, 2004; See also Woods (2009, p. 188 for further bibliography).

Anderson, William L. 2001. “The Party is Over,” February 20;

Anderson, William L. 2003. “Recovery or Boomlet?” July 07;

Anderson, William L. 2007. “The Party is Over – Again,” August 30;

Beale, Theodore. Various dates.

Block, Walter E. 2010. “Austrian Thymologists Who Predicted the Housing Bubble.” December 22;

Blumen, Robert. 2002. “Fannie Mae Distorts Markets.” Mises Daily, June 17;

Blumen, Robert. 2005. “Housing Bubble: Are We There Yet?” May 8;

Bonner, Bill. tba

Corrigan, Sean. tba

Crovelli, Mark R. 2006. “Gold, Inflation, And… Austria?” May 31;

De Coster, Karen. 2003. “The House that Greenspan Built: Irrationally Exuberant Wall Street Welfare Parasites and Their Fed-God.” September 12;

DiLorenzo, Thomas J. 1999.  “Regulatory Sneak Attack.” September 16;

Duffy, Kevin. 2005A “The Super Bowl Indicator,” February 5; http://www.LewRockwell.Com/orig5/duffy2.html

Duffy, Kevin. 2005B. “Honey, I Shrunk the Net Worth,” March 3; http://www.LewRockwell.Com/orig5/duffy3.html

Duffy, Kevin. 2005C. “Alan, We Have a Problem,” August 2; http://www.LewRockwell.Com/orig5/duffy4.html

Duffy, Kevin. 2005D.  “Panic Now and Beat the Rush,” September 24; http://www.LewRockwell.Com/orig5/duffy5.html

Duffy, Kevin. 2006.  “Are Mortgage Borrowers Rational?,” June 24; http://www.LewRockwell.Com/orig5/duffy8.html

Duffy, Kevin.  2007A. “It’s a Mad, Mad, Mad, Mad World,” May 22; http://www.LewRockwell.Com/duffy/duffy10.html

Duffy, Kevin. 2007B. “For Whom Do the Bells Toll?,” Barron’s, June 18;

Duffy, Kevin. 2007C. “Financial Markets on Crack,” August 22; http://www.LewRockwell.Com/duffy/duffy11.html

Duffy, Kevin. 2007D. “Mr. Mozilo Goes to Washington,” September 15; http://www.LewRockwell.Com/duffy/duffy12.html

Economics of contempt. 2008. “The Unofficial List of Pundits/Experts Who Were Wrong on the Housing Bubble.” July 16;

Englund, Eric. 2004. “Monetizing Envy and America’s Housing Bubble.” July 19;

Englund, Eric. 2005A. “Houses Are Consumer Durables, Not Investments,” June 8;

Englund, Eric. 2005B. “Diminishing Property Rights Will Lead to a Higher Rate of Mortgage Defaults.”

Englund, Eric. 2005C. “When the Housing Bubble Bursts, Will President Bush Practice Mugabenomics?” July, 19;

Englund, Eric. 2005D.  “When Will America’s Housing Bubble Burst?” November 4;

Englund, Eric. 2006. “The Federal Reserve and Housing: A Cluster of Errors?” April 22;

Englund, Eric. 2007.  From Prime to Subprime, America’s Home-Mortgage Meltdown Has Just Begun.” September 24;

Englund, Eric. 2008. “Countrywide Financial Corporation and the Failure of Mortgage Socialism.” January 28;

Mayer, Chris. 2003. “The Housing Bubble.” The Free Market. Volume 23, Number 8


Grant, James. 2001. Sometimes the Economy Needs a Setback.” New York Times. September 9;\8611aaca6946

Karlsson, Stefan. 2004. “America’s Unsustainable Boom.”  November 8;

Murphy, Robert P. 2007 “The Fed’s Role in the Housing Bubble.” December 28;

Murphy, Robert P.  2008. “Did the Fed, or Asian Saving, Cause the Housing Bubble?” November 19;

North, Gary. 2002. “How the FED Inflated the Real Estate Bubble by Pushing Down Mortgage Rates: Report As of 2002,” Reality Check, March 4;

North, Gary. 2005. “Surreal Estate on the San Andreas Fault.” November 25, 2005;

North, Gary. 2013. “Tenured Austrian Economists vs. Murray Rothbard.” March 13;

Paul, Ron.  Various dates.

Paul, Ron, 2002. Testimony to U.S. House of Representatives, July 16; text of speech in Woods (2009, 16-17):

“The special privileges granted to Fannie and Freddie have distorted the housing market by allowing them to attract capital they could not attract under pure market conditions. As a result, capital is diverted from its most productive use into housing. This reduces the efficacy of the entire market and thus reduces the standard of living of all Americans.

“Despite the long-term damage to the economy inflicted by the government’s interference in the housing market, the government’s policy of diverting capital to other uses creates a short-term boom in housing. Like all artificially created bubbles, the boom in housing prices cannot last forever. When housing prices fall, homeowners will experience difficulty as their equity is wiped out. Furthermore, the holders of the mortgage debt will also have a loss. These losses will be greater than they would have otherwise been had government policy not actively encouraged overinvestment in housing.”

Paul, Ron.  2000. “A Republic, If You Can Keep It” January 31;

Paul, Ron.  2002. “Government Mortgage Schemes Distort the Housing Market,” July 16;

Polleit, Thorsten. 2006. “Sowing the Seeds of the Next Crisis.” Apri 25;

Ptak, Justin. 2003. “Government Employees, Go Home!”  November 12;

Rockwell, Llewellyn H, Jr. 2008. The Left, the Right, and the State. Auburn, AL: The Mises Institute

Rogers, Jim. 2005. “Interview with Jim Rogers on the housing bubble.” April 22;

Rothbard, Murray N. tba

Schiff, Peter. Undated A.

Schiff, Peter. Undated B.

Schiff, Peter. Undated C.

Schiff, Peter. Undated D.

Schiff, Peter. 2003A. Commentary, March;

Schiff, Peter. 2003B. Commentary, April;

Schiff, Peter. 2003C. Commentary, June;

Schiff, Peter. 2004A. Commentary, May;

Schiff, Peter. 2004B. Commentary, June;

Schiff, Peter. 2005A. Commentary, April;

Schiff, Peter. 2005B. Commentary, July;

Schiff, Peter. 2005C. Commentary, August;

Schiff, Peter. 2005D. Commentary, October;

Schiff, Peter. 2006A. Appearance on CNBC, January;

Schiff, Peter. 2006B. Speech to the Money Show Conference, February;

Schiff, Peter. 2006C. Speech to the Mortgage Bankers Assoc. November;

Schiff, Peter. 2006D. Mortgage Bankers Speech to the Western Regional Mortgage Bankers Conference in Las Vegas; November 13;

Schiff, Peter. 2007A. Crash Proof: How to profit in the coming economic collapse (1st edition) New York, N.Y.: Wiley

Schiff, Peter. 2007B. Appearance on Fox News – January 12;

Sennholz, Hans F. 2002. “The Fed is Culpable.” November 11;

Shostak, Frank. 2003. “Housing Bubble: Myth or Reality?” March 4;

Shostak, Frank. 2005 “Is There a Glut of Saving?” August 4;

Thornton, Mark. 2004. “Housing: too good to be true.” June 4;

Thornton, Mark. 2009. “The Economics of Housing Bubbles.” America’s Housing Crisis: A Case of Government Failure, Benjamin Powell and Randall Holcombe, eds., Transaction Publishers

Thornton, Mark. Undated.

Trask, H.A. Scott. 2003. “Reflation in American History.” October 31;

Wenzel, Robert. 2004. “Government Isn’t God: FDIC Sticks Banks With Bad Loans and Sticks Borrowers With Subprime Junk .” July 21;

Woods, Thomas E. Jr. 2009. Meltdown: A Free-Market Look at Why the Stock Market Collapsed, the Economy Tanked, and Government Bailouts Will Make Things Worse. Washington D.C.: Regnery Publishing

Best regards,



7:07 am on December 28, 2020