Austrians Versus Paul Krugman

Ironically, I liked some of Paul Krugman’s early work.  But, he has never been the same since winning the Nobel Prize in Economics in 2008.  What is it about winning the Nobel that seems to turn so many folks into minor deities who then feel they can pontificate about anything–even topics they don’t really know anything about.

Take Paul Krugman versus the Austrian Business Cycle (ABC) theory for example.  You have to wonder, how much does Krugman really know about the ABC?  Has he read Mises, Hayek, Lachmann, et al?  Heck, I love the stuff but wish I had more time to read them.  Which of course is the strength and weakness of the ABC theory in that it can’t be explained in a few equations.  But I digress.

At any rate, Robert P. Murphy sets Krugman straight in this excellent blog over at the Ludwig von Mises Institute.  Enjoy 🙂

Hat Tip Cafe Hayek