tag:blogger.com,1999:blog-3580247703206240142.post2686198641712381598..comments2023-05-16T02:08:42.858-07:00Comments on Degringolade: Odd priestsDegringoladehttp://www.blogger.com/profile/11893964959960977677noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-3580247703206240142.post-63476780587832835422012-03-29T09:35:36.504-07:002012-03-29T09:35:36.504-07:00Economists often seem to be pretty poor historians...Economists often seem to be pretty poor historians. They shoe horn the past into whatever current (often very political) feud is hot at the moment.<br /><br />Note how the quote you have catches all the modern day buzz words - as if a central bank and creditors raising rates would mean the same thing then as now.<br /><br />Note that the time period they are talking about is the run up period to the 1845 European revolutions. Like todays revolutions in the Middle East, a lot of the ferment was demographic driven. So the interests rates rising is likely from population pressures putting a squeze on the food supply (like it is on oil/food today) and thus causing inflation even within the supposedly inflation proof gold standerd currencies. In othe words, they have the tail waging the dog.russell1200https://www.blogger.com/profile/16258915475311426433noreply@blogger.com