Tuesday , November 30 2021
Home / Thorsten Polleit
Thorsten Polleit

Thorsten Polleit



Articles by Thorsten Polleit

A Global Fiat Currency: “One Ring to Rule Them All”

25 days ago

The One Ring of power stands for the particularly evil idea of creating a state of states, a world government, a world state. A one-world fiat currency is similarly dangerous. Original Article: “A Global Fiat Currency: ‘One Ring to Rule Them All'” This Audio Mises Wire is generously sponsored by Christopher Condon. Narrated by Michael …

Read More »

Why Marx Loved Central Banks

October 20, 2021

In his “Manifesto of the Communist Party” (1848), published together with Frederick Engels, Karl Marx calls for “measures” — by which he means “despotic inroads on the rights of property” –, which would be “unavoidable as a means of entirely revolutionising the mode of production,” that is, bringing about socialism-communism. Marx’s measure number five reads: “Centralisation of credit in the hands of the state, by means of a national bank with State capital and an exclusive monopoly.” This is a rather perspicacious postulation, especially as at the time when Marx formulated it, precious metals — gold and silver in particular — served as money.
As is well known, the quantity of gold and silver cannot be increased at will. As a result, the quantity of credit (in terms of

Read More »

Berliners in 2021 Want to Expropriate Private Housing

October 14, 2021

The Berlin “housing crisis” has, of course, many causes. But most, if not all of them, are government made. Unfortunately, however, people blame “capitalists” for their plight. Original Article: “Berliners in 2021 Want to Expropriate Private Housing” This Audio Mises Wire is generously sponsored by Christopher Condon. Narrated by Michael Stack.

Read More »

Berliners in 2021 Want to Expropriate Private Housing

October 4, 2021

On September 6, 2021, the city-state of Berlin, Germany’s capital, held a referendum: voters in Berlin had to decide whether thousands of housing units owned by “large real estate firms” should be nationalized. 56.4 percent voted yes, 39 percent no. While the referendum is not binding, it forces Berlin’s incoming city government to debate the expropriation measure. However, …

Read More »

A Global Fiat Currency: “One Ring to Rule Them All”

September 24, 2021

1. Human history can be viewed from many angles. One of them is to see it as a struggle for power and domination, as a struggle for freedom and against oppression, as a struggle of good against evil. That is how Karl Marx (1818–83) saw it, and Ludwig von Mises (1881–1973) judged similarly. Mises wrote: …

Read More »

Why the Fed Is So Desperate to Hide Price Inflation

September 15, 2021

The Fed is backed into a corner. If price inflation continues, the public could demand action and the Fed could be forced to cut back the flow of easy money, which may lead to a depression. Original Article: “Why the Fed Is So Desperate to Hide Price Inflation” This Audio Mises Wire is generously sponsored …

Read More »

Why the Fed Is So Desperate to Hide Price Inflation

September 8, 2021

Speaking at the Jackson Hole meeting on August 27, 2021, Federal Reserve (Fed) chairman Jerome J. Powell indicated that he supported “tapering” toward the end of this year and hastened to add that interest rate hikes are still a long way off. The term “tapering” means that the central bank reduces its monthly purchases of bonds …

Read More »

The Crime of ’71: When Nixon Ended the Dollar’s Last Connection to Gold

August 18, 2021

Nixon’s decision to end the gold redeemability of the greenback was probably the most comprehensive act of monetary expropriation of modern times. Original Article: “The Crime of ’71: When Nixon Ended the Dollar’s Last Connection to Gold” This Audio Mises Wire is generously sponsored by Christopher Condon. Narrated by Michael Stack.

Read More »

The Crime of ’71: When Nixon Ended the Dollar’s Last Connection to Gold

August 13, 2021

Almost fifty years ago, on August 15, 1971, the US administration under President Richard Nixon (1913–94) abolished the gold redeemability of the US dollar. It was through this unilateral decision that the world’s major currencies were turned into irredeemable money: money that is no longer backed by physical gold. This surprise coup put an end …

Read More »

The Dark Side of Yield Curve Control Policy

May 3, 2021

The Bank of Japan has been pursuing a monetary policy of “yield curve control” (YCC) since 2016, with which it keeps short and long-term interest rates for Japanese debt securities at around 0 percent. To do this, it buys massive amounts of government bonds. The Central Bank of Australia has been proceeding in a very …

Read More »

The Dangers Lurking Behind a Digital Euro

March 2, 2021

Neosocialist China does it, Sweden does it, and many other states want to do it, too: to issue digitized central bank money for everyone. The European Central Bank (ECB) is also working on such a scheme. It wants to launch “digital euro central bank money” as soon as possible. Many economists praise the project as an “innovation,” as an important and indispensable step in an increasingly digitized world.
The ECB is also keen to make its intentions known, declaring that a digital euro will be accessible for everyone, robust, secure, efficient, and compliant with applicable law. However, it should be clear that the path to becoming a surveillance state regime will accelerate considerably if and when a digital euro is issued. But

Read More »

The Dangers Lurking behind a Digital Euro

February 26, 2021

Neosocialist China does it, Sweden does it, and many other states want to do it, too: to issue digitized central bank money for everyone. The European Central Bank (ECB) is also working on such a scheme. It wants to launch “digital euro central bank money” as soon as possible. Many economists praise the project as …

Read More »

Government’s Money Monopoly and the “Great Reset”

February 1, 2021

The unbacked paper money system is an economically and socially destructive system—with far-reaching and harmful economic and social consequences beyond what most people would imagine. Fiat money is inflationary; it benefits some at the expense of many others; it causes boom-and-bust cycles; it corrupts the morality of society; it will ultimately end in a major …

Read More »

Inflation Breeds Even More Inflation

January 19, 2021

Mises’s firm anti-inflation view—and his recommendation for a return to sound money (that is, free market money)—rested on his awareness of the disastrous consequences of an inflationary policy. Original Article: “Inflation Breeds Even More Inflation” This Audio Mises Wire is generously sponsored by Christopher Condon. Narrated by Michael Stack.  

Read More »

Inflation Breeds Even More Inflation

January 16, 2021

I. Warning against Fiduciary Media Early in the 20th century, Ludwig von Mises warned against the consequences of granting the government control over the money supply. Such a regime inevitably creates money through bank credit that is not backed by real savings—a type of money that Mises termed “fiduciary media.” In 1912, Mises wrote, It …

Read More »

Why We Need a Free Market in Money

November 20, 2020

What is fiat money and what does it do? This is essential to understand since today’s worldwide unbacked paper, or “fiat,” money regime is an economically and socially destructive scheme—with far-reaching and seriously harmful consequences. There is an answer, though, and this lies in ending the money production monopoly of states. The Problem of Fiat Money …

Read More »

Inflation as a Tool of the Radical Left

September 21, 2020

“Lenin is said to have declared that the best way to destroy the Capitalist System was to debauch its currency….Lenin was certainly right. There is no subtler, no surer way of overturning the existing basis of society than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and does it in a manner which not one man in a million is able to diagnose.”1
Keynes does not provide a concrete source backing his words but deliberately used the phrase “is said to have declared.” For a good reason. As Frank W. Fetter (1899–1991) pointed out, there is no evidence at hand that Lenin actually said or wrote these words, and anyone quoting Lenin on inflation would be indeed be referring

Read More »

Inflation as a Tool of the Radical Left

September 20, 2020

It becomes clear that ramping up inflation is a tool for those who wish to overthrow the existing economic and social order—to get rid of what little is left of the free market system. This Audio Mises Wire is generously sponsored by Christopher Condon. Narrated by Millian Quinteros. Original Article: “Inflation as a Tool of …

Read More »

Inflation as a Tool of the Radical Left

September 17, 2020

“Lenin is said to have declared that the best way to destroy the Capitalist System was to debauch its currency….Lenin was certainly right. There is no subtler, no surer way of overturning the existing basis of society than to debauch the currency. The process engages all the hidden forces of economic law on the side …

Read More »

Sound Money Is Key to Defending Our Liberties

September 2, 2020

The title of this article epitomizes what the Austrian economist Ludwig von Mises (1881–1973) called the “sound money principle.” As Mises put it: The sound-money principle has two aspects. It is affirmative in approving the market’s choice of a commonly used medium of exchange. It is negative in obstructing the government’s propensity to meddle with the …

Read More »

Gold Prices Show There’s a “Big Short” Going on in Official Currencies

August 22, 2020

A rising price of gold and silver in US dollars, euros, Chinese renminbi, Japanese yen, etc. means this:  the higher the price of this precious metal, the lower the exchange value of official currencies. This Audio Mises Wire is generously sponsored by Christopher Condon. Narrated by Millian Quinteros. Original Article: “Gold Prices Show There’s a …

Read More »

Gold Prices Show There’s a ‘Big Short’ Going on in Official Currencies

August 14, 2020

On August 4, 2020, the price of gold surpassed $2,000 per ounce, currently trading around an all-time high of $2,050 per ounce. While one may say that the price of gold is on the rise, it would actually be more meaningful to say that the purchasing power of the world’s fiat currencies vis-à-vis gold is on the decline, because this is what a rising price for gold and silver in, say, US dollars, euros, Chinese renminbi, Japanese yen, or Swiss francs really stands for: The higher the price of this precious metal, the lower the exchange value of official currencies.

Gold isn’t just a good like any other. It is special: it is the “ultimate means of payment,” the “base money of civilization.” Monetary history bears this out: whenever

Read More »

New Opportunities for Marxists: Climate Change and Coronavirus

July 24, 2020

Every economic system is a mixture of market action and state control. The Marxist strategy is to blame every ill caused by state intervention on capitalism.  This Audio Mises Wire is generously sponsored by Christopher Condon. Narrated by Millian Quinteros. Original Article: “New Opportunities for Marxists: Climate Change and Coronavirus​”.

Read More »

New Opportunities for Marxists: Climate Change and Coronavirus

July 23, 2020

In The Communist Manifesto (1848) Karl Marx (1818–83) and Friedrich Engels (1820–95) predicted that capitalism would lead to the impoverishment of the laboring class. Why? Well, to raise profit on capital invested, Marx and Engels argued, entrepreneurs (the capitalists) would exploit the workers. They would reduce wages and worsen working conditions by, say, increasing working hours. From that viewpoint, Marx and Engels put forward an immiseration theory of capitalism.
Worker “Exploitation”
Marxists would not argue that workers’ wages would decline in absolute terms, but certainly in relative terms: the wage incomes of the many would rise less than the incomes of the capitalists, thereby making the former poorer compared to the

Read More »

New Opportunities for Marxists: Climate Change and Coronavirus

July 22, 2020

In The Communist Manifesto (1848) Karl Marx (1818–83) and Friedrich Engels (1820–95) predicted that capitalism would lead to the impoverishment of the laboring class. Why? Well, to raise profit on capital invested, Marx and Engels argued, entrepreneurs (the capitalists) would exploit the workers. They would reduce wages and worsen working conditions by, say, increasing working …

Read More »

Why Governments Hate Currency Competition

July 10, 2020

There are some reasons to be optimistic about the future of free market money. On the other hand, the world’s governments will fight true currency competition every step of the way. This Audio Mises Wire is generously sponsored by Christopher Condon. Narrated by Millian Quinteros. Original Article: “Why Governments Hate Currency Competition”.

Read More »

Why Governments Hate Currency Competition

July 1, 2020

Introduction In this article, I would like to accomplish two goals: First, I want to explain what money is (and what it is not). I will argue that money is the medium of exchange, and that this is the only function of money. Second, I will point out why the size of the money supply does not matter …

Read More »

Governments Have Crippled the World’s Economies. Revolution May Soon Follow.

June 9, 2020

The world seems to be on fire. A couple of months ago, the economic upswing was still firmly established, production expanded, and unemployment was declining. It all changed with the advent of the coronavirus or, to be precise: things turned really sour with the politically dictated lockdowns. As a reaction to the spread of the virus, governments in many countries ordered shops and firms to shut down and people to stay home. The inevitable result was a close to complete breakdown of the economic system. Hundreds of millions of people were thrown into outright despair; in India alone 120 million workers lost their jobs in April 2020.
The economic collapse sent the unbacked paper money system into a tailspin. Borrowers were unable

Read More »