Zach Carter on the Real Story of Weimar Hyperinflation

In this book, Keynes critiques the Treaty of Versailles, particularly its economic provisions, which he believed were overly punitive and would lead to widespread economic suffering and instability in Europe. He argues that the treaty breached the principles of the Armistice agreement and the Fourteen Points, and that the reparations demanded from Germany were unrealistic and would have devastating economic consequences. Keynes also provides a personal account of the key players at the Paris Peace Conference and predicts that the treaty's terms could sow the seeds for future conflicts.

In this book, John Kenneth Galbraith traces the history of significant speculative episodes in the economy, from the tulip craze of the seventeenth century to the recent plague of junk bonds. He exposes how normally sane people display reckless behavior in pursuit of profit, attributing these behaviors to a 'notoriously short' financial memory that leads to market collapses. Galbraith emphasizes that recognizing these patterns can help guard against future recessions and improve financial stability. The book underscores the cyclical nature of financial euphoria, driven by mass psychology and leverage, and warns against the illusion that wealth is a measure of intelligence.