Watch the full 24-minute video at http://www.goldmoney.com/polleit-turk-interview. Thorsten Polleit, http://thorstenpolleit.com, and James Turk, Director of the GoldMoney Foundation, talk about the Austrian school of economics and the Austrian Theory of the Business Cycle (ABCT). They talk about the euro as a fiat currency and how fiat money in general distorts the market and capital allocation.
James explains how malinvestment is encouraged by these distortions, how boom and bust cycles and financial bubbles are symptoms of bank credit expansion under a fiat currency system. The also discuss the role of fractional reserve banking. Thorsten recommends Murray Rothbard’s “The Mystery of Banking”.
This interview was recorded on October 1st 2011 in Vienna.
