“The origin of money is…entirely natural and thus displays legislative influence only in the rarest instances. Money is not an invention of the state. It is not the product of a legislative act. Even the sanction of political authority is not necessary for its existence. Certain commodities come to be money quite naturally, as the result of economic relationships that were independent of the power of the state.”
Four and a half years ago, a reader of mine commented that I should study praxeology, which is the science of human action. As a skeptical empiricist, facts and evidence are important to me, yet, they cannot tell the entirety of the truth about a particular topic. Sometimes, logical deductions are more valuable than spending large and inordinate amounts of time and effort conducting never-ending research and studies that mostly tell you what is already knowable about the world, not just through hard-won personal experience, but also an extrapolated understanding of humanity through a truthful evaluation of one’s own values and actions.
Much like Ayn Rand’s fictional magnum opus, examining Ludwig von Mises’ non-fiction magnum opus could go in a lot of different directions, and it’s not just due to the sheer length of it. For my purposes of this report, I will focus on those highlights that really illuminated my understanding of economics more so than it already has been. Much like his other work Liberty & Property, Mises never fails to impart to me the dangers of economic illiteracy insofar as it impacts the human condition (such as it is). Continue reading