The EU's current ten year strategy "Europe 2020" aims to set out a vision of a European social market economy for the 21st century that will promote economic growth with social and ecological attributes. This article analyzes the roles ascribed to the government and the market and the extent...

The paper analyses in light of Austrian and Keynesian economic theory the impact of conventional and unconventional monetary policies as therapies for financial crises. It compares the financial market stabilization measures of the Federal Reserve System and the European System of Central Banks...

The objective of the PICK-ME (Policy Incentives for Creation of Knowledge - Methods and Evidence) research project is to provide theoretical and empirical perspectives on innovation which give a greater role to the demand-side aspect of innovation. The main question is how can policy make...

The paper analyses in light of Austrian and Keynesian economic theory the impact of conventional and unconventional monetary policies as therapies for financial crises. It compares the financial market stabilization measures of the Federal Reserve System and the European System of Central Banks...

Most economists assume that markets depend on government to enforce contracts and rules against default or fraud. With small transactions, however, the cost to use the legal system far exceeds the value at stake in a contract, and even with large contracts, the legal system often cannot solve...

Friedrich August von Hayek in his early papers criticized price-level stabilization as an optimal monetary policy. In the Hayek theory, attempts to stabilize the price level in an economy with increasing natural output may initiate business cycle. The trigger lies in monetary accommodation that...

We revisit the unintended consequences of the European Central Bank's (ECB) low-interest rate policies with a focus on the periphery countries of the European Union (EU) since the 2000s from a modern Austrian perspective. We argue that convergence expectations and the ECB's expansionary monetary...

I criticize contractarian approaches to political economy that assume the insularity of constitutions from ordinary political exchange. Using tools from market process economics, I outline a theory of the political-entrepreneurial process as applied to constitutions. This theory can help us...

Autocrats depend on their followers to remain in power. They compensate the followers in exchange for their support. Yet, they have few tools to guide them in determining the compensation commensurate with the value of each follower’s support. The failure of political calculation can easily...

Following the 2008/09 financial crisis renewed attention has been given to the ability of central banks to effectively monitor the quantity of money in circulation. We present a new definition of the money supply called “Austrian money supply” (MA) and apply it to the UK economy. Unlike...