Nov 18, 2008

Robert Prechter on credit expansion

Conventional economists excuse and praise this system [today's monetary system] under the erroneous belief that expanding money and credit promotes economic growth, which is terribly false. It appears to do so for a while, but in the long run the swollen mass of debt collapses under its own weight, which is deflation, and destroys the economy. Only the Austrian school understands this fact.

~ Robert Prechter, Conquer the Crash, p. 105

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