Shame on @zeithistoriker for distorting Mises's writings to suggest that his writings sowed the seeds of Hans-Hermann Hoppe's racist beliefs, and on @ContEuroHistory for publishing the resulting hatchet jobs. And thanks to @PhilWMagness for exposing their wrongdoings.
Of course it's true that Hoppe is a fan of Mises. But it hardly follows that Hoppe's racist views have their roots in Mises's writings. Prof. Slobodian apparently saw an opportunity to make Mises a victim of guilt by association...
and to make liberalism, of which Mises was a famous exponent, and which is evidently Slobodian's real bête noire, guilty in turn by its association with Mises.
Slobodian tips his hand in stating that "Despite his liberal principles the Habsburg polyglot [Mises] never became the radical anti-racist.” "Despite"? As if having liberal principles ordinarily inclines one to become an "radical anti-racist"!
As Phil shows, connecting all these dots called for some fancy editorial footwork--the sort of thing that's reminiscent, ironically enough, of some of the more egregiously bad "scholarship" put out by Hoppe and his ilk!
Whatever your feelings about Mises or liberalism, imagine your own writings being subjected to such treatment, and than decide whether this sort of thing can possibly be excused.
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More from @GeorgeSelgin

16 Sep
Though it makes some valid points, this Bitcoin-boosting video is marred with non-sequiturs and question-begging claims.
The non-sequiturs:
(1) Advanced societies use a lot of energy;
(2) therefore the more energy a technology employs, the greater its contribution to progress;
(3) Bitcoin uses a lot of energy;
(4) Ergo, Bitcoin makes us all better off.
The principal fallacy here is a version of the labor theory of value. It's true that the energy required to produce commodity monies, including "synthetic" ones like Bitcoin, makes them inherently scarce and as such unlikely to be supplied in inflationary quantities.
Read 13 tweets
3 Sep
.@rohangrey's suggestion that the Fed's unwillingness to grant a master account to TNB ("The Narrow Bank") means that it is just as unlikely to grant such accounts to Avanti and other fintechs seems mistaken to me. blockworks.co/legal-expert-a…
The Fed has reasons for refusing Master Accounts to TNB and other "Pass Through Investment Entities" (PTIEs) that don't apply to other fintechs seeking such accounts. In particular, it wishes to preserve the differential rates it offers to banks and MMFs and other counterparties.
The sole raison d'etre of PTIEs like TNB is to eliminate that differential--the IOR-ON-RRP spread--by allowing non-bank ON-RRP counterparties to earn the IOR rate. (For this reason, allowing them master accounts that pay only the ON-RRP rate or less would be = no accounts.)
Read 17 tweets
3 Sep
Apologists for the forced currency component (Article 7) of El Salvador's Bitcoin Law like to note that Article 12 of the same exempts "Those who, by evident and notorious fact, do not have access to the technologies that allow them to carry out transactions in bitcoin."
That clause, however, continues with "The State will promote the necessary training and mechanisms so that the population can access bitcoin transactions." The government's @chivowallet is the main such "mechanism." cryptoticker.io/en/know-bitcoi…
Those who download the wallet will earn $30 worth of BTC, which they can spend, but not cash. The two catches are, first, that the Chivo Wallet isn't decentralized; as one blogger has put it, Salvadorans can "Say good bye to privacy with Chivo app." read.cash/@francis105d1/…
Read 6 tweets
1 Sep
Thread: Brad @delong's portrayal of Powell as a hawk and Republican party stooge "not even remotely aligned with those of the Democratic near-consensus" is perverse.
DeLong himself acknowledged that Powell "has spent the past four years following interest-rate and QE policies that do accord with the prevailing Democratic view." But he suggests this has only been so for two reasons.
Namely (1) "the soft-money knee jerk instincts of Trump the real-estate developer, for whom money can never be too cheap," and (2) Lael Brainard's having persuasively argued against post-COVID tightening.
Read 7 tweets
26 Aug
Thread: Actually, there is something worse than even the most naive loanable funds intermediary view of what ordinary banks are about, to wit: still more naive Post-Keynesian and MMT alternatives.
Commercial banks fund their loans and investments in one of two ways: using their own capital, or using funds borrowed from others. To the extent that they reply on borrowed funds, they are in fact credit (loanable funds) intermediaries.
Now for the provisos: the funds relied upon needn't consist of primary (that is, non-borrowed) deposits. They can consist of wholesale funds, funds borrowed from a central bank, or funds secured from other sources.
Read 22 tweets
25 Aug
It's worth recalling that the Fed didn't deliberately switch to a floor system in late 2008. Instead it stumbled into it.
Not 'til January 2019 did it officially decide to make the switch permanent. I critically assessed the Fed's reasoning then.alt-m.org/2019/01/31/the…
In fact I predicted that decision, and a corresponding, early abandonment of the Fed's promised balance sheet normalization, back in September 2017: alt-m.org/2017/09/26/nor…
Read 6 tweets

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