One provision of Congress’s newest higher education bill requires that colleges and universities report their reasons for tuition hikes to the Department of Education.  It will be interesting to see how many ways they can come up with to say, “Because we can.” The motivation behind the bill, which passed both houses of Congress today, is to expand access to higher … [Read More]

The recent meltdown of the mortgage bubble illustrates a basic insight of Austrian Economics:  cheap money leads to distortion and malinvestment, which can only be resolved through mass liquidation.  Liquidation is an anodyne term, but in real life it means lost jobs, declining wages, “upside down” bank notes, bankrupt businesses, and stagnant housing values.  The Federal Reserve’s decision after the September … [Read More]