I am back! – An update.

Paper Money Collapse Second Edition

Turns out my ‘final’ blog was not so final after all. Yes, it is true. I am coming out of blogger retirement. It has only been a few months since I called it quits but here I am again. Why did I change my mind? First, I received a lot of very nice feedback from people who enjoyed my blogs and encouraged me to keep writing. It was great to see that some people really liked what I had to say and had a genuine interest in my views. Second, it was fun and I missed it. I simply enjoy blogging and writing, and I remain passionate … [Read more...]

Final blog: Thank you and good-bye for now.

Detlev Schlichter

This is the final blog entry in the ‘Schlichter Files’. Pretty soon, this website will be taken offline. I would like to take this opportunity to thank all my readers for following my commentaries, essays and occasional rants over the past two-and-a-half years. Thank you. I would like to express a special gratitude to all who provided comments. I have found so many of the comments from readers to be perceptive and thoughtful, and enjoyed them even when I didn’t respond (as has usually been my policy). Somewhat to my … [Read more...]

Oxford Hayek Society talk followed by Q and A

Detlev at Oxford Hayek Society

The Oxford Hayek Society invited Detlev to give a talk at Christ Church on 14th May 2013. This was followed by a lively discussion afterwards ... … [Read more...]

Could Bitcoin be the money of the future?

A physical Bitcoin-coin

The crypto-currency Bitcoin is still merely a speck on the global monetary landscape. It is young, experimental, and for all we know, it may ultimately fail to break into the monetary mainstream. However, on a conceptual level I am willing to call it a work of genius and arguably the most exciting development in the field of money for more than 130 years. Let’s say since the start of the Classical Gold Standard in 1879. Does this sound like hyperbole? Well, let me explain. The Decline and Fall of Capitalist Money The 20th … [Read more...]

It’s official: Global economic policy now firmly in the hands of money cranks

BoJ Governor Haruhiko Kuroda

The lesson from the events of 2007-2008 should have been clear: Boosting GDP with loose money – as the Greenspan Fed did repeatedly between 1987 and 2005 and most damagingly between 2001 and 2005 when in order to shorten a minor recession it inflated a massive housing bubble – can only lead to short term booms followed by severe busts. A policy of artificially cheapened credit cannot but cause mispricing of risk, misallocation of capital and a deeply dislocated financial infrastructure, all of which will ultimately conspire … [Read more...]

Incredible confusions Part 1: ‘Positive Money’ and the fallacy of the need for a state money producer

Printed money

I am usually inclined to encourage the inquiry of the fundamental aspects of money and banking. This is because I tend to believe that only by going back to first principles is it possible to cut through the thicket of widely accepted but deeply flawed theories that dominate the current debate in mainstream media, politics and the financial industry. From my own experience in financial markets I can appreciate how convenient and tempting it is in a business context, where quick and easy communication is of the essence, to … [Read more...]

Note to readers: Detlev speaking at the City Book Fair, London

Picture of Detlev Schlichter

Just a quick note to let you now that I will be speaking at the City Book Fair, at the Bishopsgate Institute in the City of London, tomorrow morning at 11 am. The link to the event is here: Link. My friend and fellow Wiley-author, John Butler, will also be speaking, as well as a range of other authors. I know this is late notice but if you are working in the City or are nearby and interested, come by. … [Read more...]

“But there is no inflation!” – Misconceptions about the debasement of money

Printed money

“But there is no inflation!” - This is a statement I hear quite often, sometimes from people who are, in principle, sympathetic to my arguments, sometimes from people who are less so. In either case, those who state “but there is no inflation” consider it to be a statement of fact and one that they assume must pose a challenge for me. Should the man who argues that we are heading for the collapse of paper money, for some kind of hyperinflationary endgame, not be concerned that all this money printing by central banks around … [Read more...]

Paper Money Collapse: Winner of the getAbstract 2012 International Book Award

Book cover for Paper Money Collapse

Friends, I just returned from the Frankfurt Book Fair and am very happy and proud to announce that Paper Money Collapse won the getAbstract 2012 International Book Award. Out of thousands of business and economics book reviewed by getAbstract each year, they awarded the prize for best English-language book to two titles. The other winner was “Too Big To Know” by American technologist David Weinberger. I am absolutely delighted. GetAbstract is a prestigious award that has been presented at the Frankfurt Book Fair for 12 … [Read more...]