I was born in Hungary in 1947, and fled Socialist tyranny during the Hungarian Revolution of 1956. My family had lived through WWII and the consequent Hungarian hyperinflation, thus I have intimate experience with financial destruction.
My Dad used Gold to buy our way out of Hungary. Paper money was as good as toilet paper. Later in life, during my studies of Austrian economics, I came to realize that only Gold could solve the Global Financial Crisis (which should be called the Global Monetary Crisis), just as Gold solved our otherwise insoluble problem of getting out of Communist Hungary.
My study of Austrian Economics led me to discover the work of Professor Antal E. Fekete, and the New Austrian School of Economics. This school is taking Austrian economics to new levels. In particular, to a reconciliation of the two competing theories of interest rate formation; the Austrian take based on time preference, and the Scholastic take based on the marginal productivity of capital.
The New Austrian school holds that time preference forms the floor of interest rates, and marginal productivity of capital sets the ceiling. This reconciliation of the two competing theories is essential, and follows Carl Menger’s original understanding that there is no ‘market price’ Per Se; only a bid and an offer… and the spread.
My years of work with Professor Fekete has been recognized; I am the first recipient of a degree from the New Austrian School! I now hold a Master’s Degree in Monetary Science.
Thank you Professor.