Foreign Credit, Local Collapse

Foreign Credit, Local Collapse

Photo by Vardan Papikyan on UnsplashLudwig von Mises, one of the clearest thinkers on money and markets, espoused a simple warning: when governments or banks hand out money that isn’t backed by real savings, people start building things that won’t work in the long run. At first, everything looks good; there’s a lot of activity, people get jobs, cement is poured, and machines are bought, but this rush is based on false signals. Individuals in the…