Jan 29

The Mystery of Banking, by Murray Rothbard ★★★★★

This book starts out as a technical treatise on economics, explaining in fairly simple language and graphs how economics works in the real world. Rothbard then develops the history of banking in the Western world in the last 200 years, showing from an Austrian economic perspective where things have gone wrong. Rothbard is especially critical of fractional reserve banking, adequately showing how it amounts to nothing but dishonesty and theft. Rothbard shows how a return to the gold-standard is entirely doable, that the fear of not enough specie is unwarranted, even in a massive economy such as the USA. I admit that I didn’t follow all of the arguments, perhaps owing to my absence of complete familiarity with banking terminology. Even still, there is enough to glean from the book to sufficiently familiarize one with the root causes for the economic mess that we are now in. I’ll definitely be reading more of Rothbard. It is sad that Austrian economics takes such a severe hit from the so-called “conservative” politicians, who unknowingly mirror the thinking of their “liberal” colleagues. This book is a worthy reading, even for one conversive in economics. It’s free, you can easily download it and read it on your iPad, so there is no excuse.

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2 Responses to “The Mystery of Banking”

  1. Onkel Dennis says:

    I am glad to see that you are reading about the money system because it will lead you to a deeper understanding of what is driving the events of the developed world today and how it augurs social collapse. (See Ed Vieira’s talk below on that.)

    Murray Rothbard is indeed one of the big contributors to non-witch-doctor economics and demonstrates why the Austrian school is essentially what remains of anything having any pretense of a scientific foundation in economics.

    For those who cannot understand Rothbard (and he is not hard for an educated person to comprehend) there is F.A. Hayek’s The Road to Serfdom or even Ayn Rand’s Atlas Shrugged. I particularly found Richard Rahn’s book, The End of Money to have some good insights on the role of money in social dynamics.

    And I would not want to omit the novel of a good acquaintance of mine who is a Rothbard fan and a former Supreme Court lawyer, Edwin J. Vieira, Jr. and his novel, The Cra$hmaker. It is long but interesting:


    Vieira has a nonfictional work that is a standard for the legal and historical aspects of U.S. money, another two-volume work titled Pieces of Eight: The Monetary Powers and Disabilities of the U.S. Constitution. Ed is brilliant. Do not miss watching the excerpt of Vieira’s speech here:


    And do not miss Larry Parks’ site,


    Finally, a friend of mine, constitutional attorney Larry Becraft, who has argued cases with Vieira, also discusses the money issue from a legal standpoint at


    Just as Vieira is often regarded as the leading expert on the money issue, Becraft is perhaps the leading expert on the flipside of that coin, the income-tax issue. Becraft has much that is useful in understanding what is happening and where the situation is heading on his website.

    All of the above information, when viewed in a Gestalt manner of connecting the dots, explains why I no longer live in U.S. jurisdiction. The social situation is far different than most Americans can imagine. If most Americans knew the truth about their situation, they would be terrified. Vieira’s talk reveals why, in short.

  2. Onkel Dennis says:

    Correction: the web link in the previous message should have been


    Also, I might add that both Vieira and Becraft were involved in a lawsuit in defense of PCA member Franklin Sanders against the U.S. govt. involving real versus political money.

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