Peter's Blog

Why Governments Don’t Determine Money’s Value

With inflation still running hot and disastrous jobs data coming in, it’s tempting for policymakers to spread myths about the economy, particularly around the origin and nature of money. As the Austrian school demonstrates, fiat money– and all money for that matter– does not derive its value from dictates of the government. The following article […]

CPI vs. Zoe’s Grocery Receipt: Which Inflation Measure Tells the Truth?

In a welcome reminder that all inflation measurements are fundamentally arbitrary, a recent TikTok went viral for showing the extremes of inflation over the last two decades. Perhaps this virality will teach Gen Z a thing or two about inflation, its true causes, and why the state is prone to downplay the true extent of […]

CPI Inflation Cools Amid Falling Oil Prices and Slowing Rents

With the CPI coming in at 2.7% last week– lower than the expected 3.1% – markets rallied at the hope that inflation is being tamed. 2.7% is still nearly a full point higher than the Fed’s 2.0% goal, and this hope is misplaced: the Fed’s latest cuts will only drive inflation higher. The following article […]

The Fed’s Cloud of Unknowing

Aside from not existing, an “ideal” central bank requires the ability to hold trust over a long period of time. The problem with the current central bank is that it changes strategies every few months depending on outside political pressures or what it thinks will smooth a period of volatility. This pattern means that all […]

Why Price Stability Is a Dangerous Illusion

One of the long-touted goals of central banking is “price stability,” which, in the minds of central bankers, means low and continuous inflation. Even if this goal wasn’t cover for inflationist policy, it’d still be important to note that “price stability” is actually an unachievable goal when properly understood.

Long Term Inflation Fears Simmer at 4%

Consumers may be breathing a small sigh of relief, but they’re hardly celebrating. The University of Michigan’s latest “Current versus Pre-Pandemic Long-Run Inflation Expectations” update, released Friday, shows the median expectation for inflation over the next 5 years dipping to 4.0 % in June after topping out at 4.4 % in April. While that is […]

Purchasing Power and Global Demand for the U.S. Dollar

With trade wars popping in and out of headlines during the Trump presidency, there are no guarantees when it comes to foreign exchange. As tariffs, bailouts, and central banks all affect exchange rates, it’s worth revisiting what causes the international economy to demand the almighty US dollar.

Gold Pumps After Monster Rate Cut – And So Will Inflation

In the wake of the Fed’s juicy 50 bps interest rate cut, the dollar responded immediately by dropping against gold. With more rate cuts on the way, Israel’s war expanding rapidly, and inflation ready to rip higher, new record prices are on the way for the yellow metal.

Canada’s Finance Minister Brags About Rate Cuts While Citizens Suffer

In a stunning show of arrogance, Canada’s Minister of Finance took to X/Twitter to gloat about being the first G7 country to begin cutting interest rates. Chrystia Freeland declared victory over national economic hardship by noting that the country’s central bank led the entire developed world with lower rates, displaying a flabbergasting combination of economic […]

Rate Cuts & War Will Push Gold Higher 

The war in the Middle East continues to escalate, threatening the entire region with an all-out conflict that, should it boil over, is almost certain to lead to heavier US involvement. All eyes are on Israel and Iran. Meanwhile, as the presidential election nears, the Fed and other central banks are desperate to cut rates […]