An 80-Year-Old Prediction

It looks like our current macroeconomic situation is scarily reminiscent of a prediction made almost a century ago by Austrian economist Ludwig Von Mises.

“There is no means of avoiding the final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as a result of voluntary abandonment of further credit expansion, or later as a final and total catastrophe of the currency involved.”

Ludwig Von Mises (1881-1973), excerpted from "Human Action" (1940)

When you realize that this very accurate paragraph was written over 80 years ago, it is chilling how it seems to perfectly apply to our current macroeconomic situation.