The Macroeconomics of Capital Structure (Foundations of the Market Economy Series,)
Publisher : Routledge | ISBN : 0415079829 | 2000-11-30 | Pages : 288 | PDF | 3.33 MB
Austrian economics are often rejected by mainstream economists because they do not use mathematics and graphical analysis. Therefore, some great insights and ideas of authors such as von Mises, Hayek and Rothbard are neglected.
Yet some austrian ideas can easily be paralleled with mainstream theories. For instance, the role of monetary inflation in monetarist macroeconomics, the role of expectations, and the difference between short term and long term Philips curve. All of these are coherent with the austrian theory. But austrian theory has a distinct approach when it discusses the role of inflation in terms of distortions of the structure of production. This leads to a new vision of recessions, as a necessary evil to cure the malinvestments of the boom.