Monetary Intervention


Monetary intervention represents one of the more sinister influences on a market economy. Interference in the money supply cause distortions in money prices the laying false information to economic actors.


Monetary intervention creates huge distortions within the economy. It causes entrepreneurs and investors to make rational decisions based on false information. The consequences inevitably lead to booms in certain sectors of the economy that ripple through the rest of the economy and ultimately lead to a generalized collapse. We need to learn the dangers of monetary intervention so we can devise strategies to stop it in its tracks.