What do you think?
Rate this book
The Financial System Limit: Radical thoughts about money
This book shows that all schemes that borrow from the future are thwarted by three related concepts:
the true cost of debt to society,
the central banking economic cycle, and
the financial system limit.
The author challenges the existing academic and political consensus about how economies should be managed. Estimates show that one-fifth of all economic output is spent on paying interest: this is too high an overhead and should not be allowed to increase. The old arguments about sound money versus stimulus, as well as contemporary arguments that governments controlling their own currency can create as much credit as they wish, are fundamentally inappropriate to the deflationary world that we are moving towards.
Whether you are a concerned individual, an academic, politician, banker or even a policymaker, read about a different view of the current financial orthodoxies, one that will provoke serious debate and even action.
“Radical thinkers might have a point” was how the Financial Times described David Kauders’ first book The Greatest Crash: How contradictory policies are sinking the global economy. This new book offers further original thought.
the true cost of debt to society,
the central banking economic cycle, and
the financial system limit.
The author challenges the existing academic and political consensus about how economies should be managed. Estimates show that one-fifth of all economic output is spent on paying interest: this is too high an overhead and should not be allowed to increase. The old arguments about sound money versus stimulus, as well as contemporary arguments that governments controlling their own currency can create as much credit as they wish, are fundamentally inappropriate to the deflationary world that we are moving towards.
Whether you are a concerned individual, an academic, politician, banker or even a policymaker, read about a different view of the current financial orthodoxies, one that will provoke serious debate and even action.
“Radical thinkers might have a point” was how the Financial Times described David Kauders’ first book The Greatest Crash: How contradictory policies are sinking the global economy. This new book offers further original thought.
ebook
Published July 13, 2020
2 people are currently reading
6 people want to read
Ratings & Reviews
Friends & Following
Create a free account to discover what your friends think of this book!
Community Reviews
Displaying 1 - 2 of 2 reviews
March 3, 2021
The Financial System Limit is a provocative and concise work of macroeconomics that wrestles with the toll that private and public debt have on economic output. The author David Kauders is clearly an interesting, heterodox thinker. After describing what he sees as the problems of debt (in terms of the wasted economic activity on interest payments and subsequent deflationary pressures), he offers a few marginal solutions for moving forward to a radically different political economy beyond debits and credits.
It was interesting to read a contrarian take on debt, especially given the current popularity of MMT. Kauders criticisms of MMT and Piketty's work are interesting. However, I would have liked to have seen greater depth on all issues in the book. The work races through too many weighty, complex issues without providing the rigorous examination they require. It makes the arguments and ideas of the work appear a little underdeveloped. Additionally, the work is written at a level where readers must have prior exposure to financial and economic terminology.
It was interesting to read a contrarian take on debt, especially given the current popularity of MMT. Kauders criticisms of MMT and Piketty's work are interesting. However, I would have liked to have seen greater depth on all issues in the book. The work races through too many weighty, complex issues without providing the rigorous examination they require. It makes the arguments and ideas of the work appear a little underdeveloped. Additionally, the work is written at a level where readers must have prior exposure to financial and economic terminology.
September 13, 2021
This book by David Kauder's provides some unique and interesting insights on macroeconomics and money in general. The topic of debt is such a complex and loaded topic but Kauder's approaches in an easy to understand manner( you don't have to have an economics background). This book is a not a light read or an easy read but its worth the read. Thanks to Netgalley and the publisher for an ARC in exchange for an unbiased and honest review.
Displaying 1 - 2 of 2 reviews