On The Impossibility Of Rational Calculation Under A Keynesian/Friedmanite Central Banking Regime

In their essence “The Great Deformation” by David Stockman and „Economic Calculation in the Socialist Commonwealth” by Ludwig von Mises are treatises on the same subject, or, better, on the same issue. While Mises argued the impossibility of rational economic calculation within the economic system lacking private property of the means of production, Stockman’s treatise could well bear the subtitle “Economic Calculation in the Fiat Paper Money System”, as its key argument states the impossibility of rational economic allocation within the framework of fiat paper money deprived of any anchor in gold, where the interest rate is discretionally determined by the Central Bank via open market operations characteristic of the „war economy” – with all its consequences.......