Ep. 273 The Austrian Theory of Interest, Current and Future
Bob Murphy Show
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Bambavark's Interest Problem
Bambavark's work really did lay the foundations for the mainstream and the Austrian theories of interests as they were developed in the 20th century. He says, this income is distinguished by certain notable characteristics. It owes its existence to no personal activity of the capitalist and flows into him even where he has not moved a finger in its making. Consequently, it seems in a peculiar sense to spring from capital or to use a very old metaphor to be begotten of it. The phenomenon of interest as a whole presents the remarkable picture of a lifeless thing producing an everlasting and inexhaustible supply of goods.
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