Thursday, September 2, 2010

An Administration Keynesian Speaks of Failure, Failure and Failure (And an Alternative Examined)

Books by Robert Wenzel

NEW! The Fed Flunks: My Speech at the New York Federal Reserve Bank

By Robert Wenzel



In April 2012, Robert Wenzel delivered a speech at the New York Federal Reserve that rocked the financial world. The Fed Flunks contains the speech he delivered, plus two other essays. In addition, Wenzel explains in The Fed Flunks just how it came about that he, a major critic of the Fed, was invited to deliver a speech at the Fed, how the event was almost sabotaged, who was at the speech and the reaction of the Fed economists there.

Product Details

ISBN                                  9781312047235

Copyright                          Gallatin House LLC (Standard Copyright License)

Edition                              First Edition

Publisher                           Gallatin House

Published                           May 15, 2014
Language                           English
Pages                                 73
Binding                              Perfect-bound Paperback
Interior Ink                         Black & white
Weight                              0.35 lbs.
Dimensions (inches)           6 wide x 9 tall



Coming Soon from Robert Wenzel:

Always Fighting for Liberty: The Early Wenzel

Prior to launching, Wenzel spent most of his working hours as a financial consultant, often providing advice to firms that were dealing directly with the SEC, the Federal Reserve and the FDA. But that did not stop Wenzel from speaking out against these agencies and other government organizations. Adopting pen names to protect himself and his clients, Wenzel for years bashed the same agencies that he had to deal with during the day. 

Now, as his financial consultancy business winds down and his pursuits become almost entirely focused on fighting for liberty, Wenzel has assembled an important collection of the essays previously scattered across the internet.


  1. It's weird how just before you posted this I was going to shoot you an email to put the Ex-girlfriend housing bubble call on your "Noteworthy posts" section.

  2. Wenzel,

    Here's what "economist" Joe Biden said back in November, 2009 on The Daily Show with Jon Stewart:

    "We inherited one heck of a mess, as you well know. The GDP was a -6.3%, 740,000 people lost their jobs before I lowered my hand after taking the oath... We're making progress. The GDP's growing, we're going to be producing jobs by the beginning of next year, in the first quarter of next year... it took us a long time to catch up.
    Here's the deal, we have now, of that recovery act, we've been in business 7, 8 months, the one thing you haven't seen... is those big wasteful projects. No one has come up with anything like, 'You went out there and spent $2-million on something that didn't exist.'
    First of all, the kind of jobs we're trying to create are not make-work jobs. We're trying to build a new platform, Jon [Stewart], for the 21st century. We're investing in energy, we're investing in education, we're investing in healthcare... these are the kinds of things that are going to provide these guys with real, live jobs that aren't exportable, that are going to be able to be kept here
    Jobs are going to lag behind growth in this country from somewhere between 12 to 18 months... Everything is growing now... We'll be creating jobs by February or March of next year."

    ~Vice President Joe Biden, as appeared on Comedy Central's The Daily Show With Jon Stewart, November 17, 2009

    Hahahhahahahahhahahaha... I'm still laughing! Hahahahhahahahahahahahahahahahha

  3. We need to stop calling it Keynesian "economics". It's been shown to be wrong. It has nothing to do with "economics", and everything to do with politics. We should call it Keynesian Politics, and all those that support it politicians.

  4. Romer said: "To this day, economists don't fully understand why firms cut production as much as they did or why they cut labor so much more than they normally would."

    This statement says it all. It is ECONOMISTS who do not understand. But anyone who is not insulated from reality, who has the pulse of the business community can tell you why: the disastrous policies of this administration, and especially its plans for the future. Duh. Business leaders are scared to death.

    This is why you absolutely cannot turn over the management of the economy to elistists who have their own pet agenda in mind, an agenda untested by reality. I mistake -- this particular agenda has been tested over and over again, and shown to be a failure. But I guess economists these days never study history.

    1. Great majority of the so called ECONOMISTS never done any practical economies, but are paid up flunkies of speculators in the casino economy and many of them lecturing their comedy to captive audience in universities. When considering economy it is useful to start with basic tenet that economy is about production and distribution of goods and services. However, casino economy is about money manipulation for their own benefit.

  5. Economists and politicians take a stimulus and government spending sledge hammer to the economy and then measure it with a regression microscope for signs of improvement.

    Sounds not unlike reading tea leaves to me. Maybe we should go back to leeching sick patients as well.

    Popular but totally fallacious and ineffective ideas like Marx, Freud and Keynes have incredibly long half lives. We wonder where the world would be without them.

  6. Keynesian ideology is the correct moniker.

  7. @Ash-

    Funny, I just asked RW today to see about a follow up with his ex-GF and landlord, and see what their thoughts are. Then I see this post- synchronicity!

    Dale Fitz

  8. Formerly Lenin-Marxism, rebranded Lenin-Marx-Keynesian ideology to be more precise.

  9. Dr. L.A. Hahn stated: For it [the Keynesian view] presupposes an economy whose members do not see through the changes brought about by monetary or fiscal manipulation or as some might say, the swindle. Above all, it presupposes that people are blinded by the idea that the value of money is stable by the "money illusion."

    Indeed, Keynesian Economics and its derivatives are little more than the Economics of Illusions, but it appears that those illusions have been so pervasive and obviously persuasive that few in their ranks question its validity. The concrete proof of the illusionary nature of these economic theories is the economy itself; it is the product of such nostrums. As such, it is impossible to believe that based on the illusionary nature of these theories and the application of those theories that a healthy economy can be produced by the policies that emanate from them. It the assumption is incorrect, the results of those assumptions will also be incorrect.

    Keynesian Economics was created to create problems and not offer solutions. That seems to be a radical statement however, when you judge that statement in the light of the writings of those who knew John Maynard Keynes and his economic theories, it becomes apparent that they were well aware of the effects that Keynesian Economics would have on the well-being of the economy and that those effects would create the need for an ever-increasing amount of government intervention. Perhaps the clearest explanation of the effects of Keynesian Economics can be found in the writings of Keynes’ contemporary and Socialist Comrade John Strachey. Strachey stated that Keynesian Economics was “an indispensable step in the right direction. The fact that the loss of objectivity, and the intrinsic value of the currency which is involved (i.e., inflation) will sooner or later make necessary, on pain of ever- increasing dislocation, a growing degree of social control . . . for the partial character of the policy will itself lead on to further measures. The very fact that no stability, no permanently workable solution can be found within the limits of this policy will ensure that once a community has been driven by events to tackle its problems, in this way, it cannot halt at the first stage, but must of necessity push on to more thorough going measures of re-organization."

  10. Stuffing more money into overblown financial system has nothing to do with Keynesian Economics.