It is now time to move from a case where credits are given to producers to where consumers are being given credits. Indeed, the general effects of an increase of money via consumers' credits, which will result in an increased relative demand for consumers' goods compared to producers' ones...
Posted to
The Critiques: An Analysis
by
laminustacitus
on Thu, Sep 3 2009
Filed under: F.A. Hayek, Prices and Production, Hayek, economics, theory of capital, monetary theory, aggregates, markets, business cycles
At last we are ready to begin the main problem of this lecture, that is the problem of how a transition to a more capitalistic structure of production, or vice versa, is brought about, and what are the conditions that must be fulfilled for a new equilibrium to be brought about. The first of the two is...
It is now time to add the flow of money into Hayek's theoretical apparatus. While the Hayekian triangle is used to illustrate the movement of goods through the economy's structure of production, it is just as legitimately utilized as a schematic to elucidate the flow of money. When the goods...
Posted to
The Critiques: An Analysis
by
laminustacitus
on Thu, Jun 4 2009
Filed under: F.A. Hayek, Prices and Production, Hayek, economics, theory of capital, monetary theory, assumptions, prices, markets