Epigraph to Brendan Brown's 'Euro crash: How asset price inflation destroys the wealth of nations'

Article Highlights

  • Fiat currency central banks claim to fight the inflation they cause, and likewise to offset the financial instability and systemic risk they create.

    Tweet This

  • Asset price inflations are the most insidious, for while they last they are highly popular, leading people to think they are growing rich and to run up their debt.

    Tweet This

  • Nobody is better at diagnosing and dissecting central bank games than Brendan Brown, whether it is the Federal Reserve or the European Central Bank.

    Tweet This

Editor's note: The following epigraph appears in the third edition of Brendan Brown's Euro Crash: How Asset Price Inflation Destroys the Wealth of Nations.

Fiat currency central banks claim to fight the inflation they cause, and likewise to offset the financial instability and systemic risk they create. The depreciation of the currencies they issue at will often cause falls in foreign exchange value, goods and services inflation, or asset price inflations. Of these, asset price inflations are the most insidious, for while they last they are highly popular, leading people to think they are growing rich and to run up their debt. When the asset inflations collapse, the central banks can come as the fire department to the fire they stoked. Nobody is better at diagnosing and dissecting these central bank games than Brendan Brown, whether it is the Federal Reserve (The Global Curse of the Federal Reserve) or the European Central Bank – this book, Euro Crash. It will give you a healthy boost in your skepticism about those who pretend to be the Platonic guardians of the financial system.
 
-Alex J. Pollock, Resident Fellow, American Enterprise Institute, Washington, DC; former president and chief executive officer Federal Home Loan Bank of Chicago.

Also Visit
AEIdeas Blog The American Magazine
About the Author

 

Alex J.
Pollock

What's new on AEI

Defeating ISIS: AEI experts weigh-in before the president’s address on Wednesday
image Degrading, defeating, and destroying the Islamic State
image Wealth Building Home Loan: Building wealth through homeownership and retirement savings
image The $3 iPhone
AEI on Facebook
Events Calendar
  • 15
    MON
  • 16
    TUE
  • 17
    WED
  • 18
    THU
  • 19
    FRI
Tuesday, September 16, 2014 | 5:00 p.m. – 6:00 p.m.
The Constitution as political theory

Please join us for the third-annual Walter Berns Constitution Day Lecture as James Ceasar, Harry F. Byrd Professor of Politics at the University of Virginia, explores some of the Constitution’s most significant contributions to political theory, focusing on themes that have been largely unexamined in current scholarship.

Wednesday, September 17, 2014 | 8:10 a.m. – Thursday, September 18, 2014 | 1:30 p.m.
Third international conference on housing risk: New risk measures and their applications

We invite you to join us for this year’s international conference on housing risk — cosponsored by the Collateral Risk Network and AEI International Center on Housing Risk — which will focus on new mortgage and collateral risk measures and their applications.

Thursday, September 18, 2014 | 2:15 p.m. – 3:00 p.m.
Speaker of the House John Boehner on resetting America’s economic foundation

Please join us as Speaker John Boehner (R-OH) delivers his five-point policy vision to reset America’s economy.

Friday, September 19, 2014 | 9:15 a.m. – 11:00 a.m.
Reforming Medicare: What does the public think?

Please join us as a panel of distinguished experts explore the implications of the report and the consumer role in shaping the future of Medicare.

No events scheduled today.
No events scheduled this day.
No events scheduled this day.
No events scheduled this day.