Wednesday, December 19, 2012

ABCT question

Who was the first person to refer to Hayek's version of ABCT as a theory of "the unsustainable boom"?

I've seen it so many places that it makes me think someone popularized it and I want to make sure to attribute it correctly. If it's really just "in the air", I guess I won't worry about it.


  1. I'd say "in the air". The only person that comes to mind is Roger Garrison, but then I'm not even sure he uses this term often! I just recall him frequently using the terms boom and bust - I imagine he threw in unsustainable with it, but I doubt he's the one who popularized it...

  2. Slightly off topic, but...

    "If the particular conditions of a given case of depreciation are such that wealth is transferred to the rich from the poor, then admittedly saving (and consequently capital-accumulation) will be encouraged, production will consequently be stimulated, and so the welfare of posterity increased." - Mises, Theory of Money and Credit, pg 221.

    Mises thought inflation stimulated real growth, as long as it transferred wealth from the poor to the rich. How's that for a wowzers?


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