The Government's role is to protect and defend life and property of people who are under its jurisdiction (against internal or external aggression) to settle disputes that may arise, and let the people (the other) free to achieve their goals. The role of government is to be guardian of the conditions that enable families and businesses achieve their goals. If the government does that, people could provide for themselves the best. When the government protects the rights of people to do what they want (as do not violate the equal freedom of others to do the same) will do what is born: to work, cooperate and trade with each other. Then, have the incentive to save, accumulate capital, innovate, experiment, seize opportunities and produce. The best policy is to limit government action to create conditions for people to achieve their own goals and live in peace with its neighbors. The role of ...

El inversionista puede libremente modificar su inversión. Si él es capaz de prever la futura situación del mercado con mayor precisión que los demás, se podrá concentrar en aquellas inversiones cuyo precio suba, evitando aquéllas cuyo precio baje. El inversionista puede libremente modificar su inversión. Si él es capaz de prever la futura situación del mercado con mayor precisión que los demás, se podrá concentrar en aquellas inversiones cuyo precio suba, evitando aquellas cuyo precio baje. Las ganancias y pérdidas provienen de la inversión de factores de producción en proyectos específicos. La especulación bursátil determina en quién inciden tales ganancias y pérdidas. La diferencia entre inversiones especulativas e inversiones productivas es de grado, no de esencia; toda inversión es especulativa. Las inversiones pueden resultar buenas o malas, pero siempre son es...

This article shows that the mathematical method to study economics is a system of knowledge from false assumptions and leading to erroneous conclusions. The Price Statistics is a way of representing historical realities of Prices. The Statistics of Prices is economic history, so the price indices are economic history data. Mathematical economists to address the relationship of prices and costs ignore the operation of the market and intend to leave aside the use of money (ingredient of economic calculation). However, implicitly assume the existence of money and its use, as talk (in general) of prices and costs, claiming confront cost prices. Prices are monetary magnitudes, and costs expressed in monetary terms only enter into economic calculation. Other mathematical economists assert that economic calculation would be based on units of utility. In Economics warned that people consciously ...

This article describes the monetary explanations of business cycles, considering that credit expansion occurs through excessive monetary base and hence excessive bank lending. The obstacles encountered by the monetary explanation of the cyclical crises are theoretical and political. The constant ups and downs of economic activity, and the inevitable sequence of booms and busts, are effects caused by repeated attempts to reduce the interest by credit expansion. Inevitably the final collapse of the boom generated by credit expansion. One can only cause soon choose between ending the crisis credit expansion, or let the monetary system crisis occurs a little later. On the monetary explanation of economic cycles and banks BCR considered pernicious interest level determined by the market, so it should cause a reduction of interest by credit expansion. This measure will lead to economic cycles....

This article states that an employer who provides a price increase in the market looking for loans willing to pay higher interest. The lender that provides a price increase, only provides loans if the market interest rises above the prevailing market interest in a situation where an expected retail price increases. The entrepreneur is not afraid that higher market interest, if you think your project will cost so that you can withstand that higher market interest. Such price increases planned unleashes an upward trend in market interest. By varying the ratio of monetary currency as occurred between 1963-1993 foreseeing a rise in prices, the upward trend prevailing market interest. So every loan is incorporated in a Compensation for rising prices. In the analysis of monetary expansion process, we assume that the presence of extra money in the loan market disturbs the adequacy of the econom...

This article evaluates the fallacy of price stabilization, stability they crave the monetary authorities who wish to maintain the monopoly of the monetary base. Damage caused by government intervention in monetary affairs, and the harmful effects caused by those monetary policies that aim to: reduce interest rates and increased market activity through monetary expansion inorganic; made people want stabilization. It includes the development of this erroneous idea and the appeal it holds for people, if we consider the arbitrary suffered by the currency and credit. Market prices are historical facts, the result of a constellation of circumstances recorded, at one point, the irreversible historical process. In the economic field, the concept of measurement has little meaning. In the real world of constant change there is no points, objects, qualities or relations fixed to measure the changes...

This paper shows that the interventionist economic system is inherent in most of the economies of countries in the world, since the intervention, despite his actions that disrupt the market mechanism does not strive to remove this duality that exists in the market economy the state and market activity. The problem is to determine who will plan and lead. If each person will be in accordance with their value judgments, or be the ruler paternal name of all. The dilemma is choosing between the free and independent act of the person or the submission of the person subject to ap.eal government decisions. It is a choice between freedom and dictatorship. The laissez-faire is intended to make free for all: each will decide how to cooperate in the social division of labor, and who are the consumers who determine what employers have to produce. The planning involves the governor to authorize, for a...

The present article deals about errors vacuum in classical Keynesian theory on the neutrality of money. If classical and Keynesian economists have not been wrong in matters relating to monetary problems, after clinging to his mistakes, could hardly prevail all these disastrous policies, inspired by popular monetary theories, which have disrupted monetary policy in almost all countries.

Que la gente, después de la inflación, sea más pobre que antes de la inflación depende de circunstancias particulares de cada caso. La teoría monetaria, al afirmar que la expansión crediticia inorganica, destaca que los consumidores, al sufrir la expansión crediticia, se empobrecen en comparación a las satisfacciones que habrían disfrutado de no haberse producido esa expansión crediticia. En Perú, los períodos Agosto 1974 – Julio 1976; Enero 1980 - Diciembre 1982; y Julio 1985 - Diciembre 1987 registraron un continuo progreso económico, un continuo incremento de las disponibilidades de bienes de capital y un alza continuo del nivel de vida. Ese progreso económico se produjo a un ritmo tan rápido que muchas veces logró compensar y superar las pérdidas provocadas por el excesivo consumo y las desacertadas inversiones de la expansión crediticia. En tales casos, el sistem...

This article evaluates the theoretical foundations of free trade agreements considering the effects of trade between countries (unequally endowed by nature) when it is assumed that the respective productions can be transported freely from one country to another, but not the workers or the capital equipment. The division of labor between countries, increase productivity and work effort, therefore, advantageous to countries, despite the internal conditions of production may be more favorable to country A than country B. Should country A (country better equipped and technologically material) to produce goods in which its superiority is greater leaving the country B (country worst equipped and technologically material) to produce goods in which the superiority of country A is less. This inconsistency does not exploit these internal conditions more favorable production, going to buy these goo...

While inflation processes in the world are moderate, inflation remained a concern. Inflation is associated with inappropriate increases in the money. These increases are politically motivated. Therefore, institutional elements are incorporated into the analysis of inflation. Among these elements are independent BCRS, which are perceived as an essential element in controlling inflation. But an independent BCR is not an institutional guarantee of zero or low inflation. If not for the excessive government interference in the monetary system, there would be no business cycle and no period of depression. Economic cycles are the result of mistakes made by deliberate government policies. The mistake is to create a monopoly where the money is controlled by the government. Since all banks create money side, which is redeemable in the monetary base, is a system that nobody can control. It is the g...

El marco teórico Mises-Becker de la incidencia de la flexibilidad y capacitación laboral en el empleo y los salarios: los salarios determinados en el mercado laboral libre de obstáculos institucionales, impactados por las fluctuaciones de tal mercado; y que en equilibrio el salario de mercado iguala al salario standard más los factores costo y afección. La manipulación coercitiva de salarios perturba la función social del mercado laboral.

This paper analyzes the theoretical foundations of the objectives of devaluation assuming the pattern Monetary Currency Freely Swinging is a tool designed to cause inflation. Was introduced to avoid the technical difficulties in its inflationary activity BCRs.Economic history has shown that the Trade Unions, State Policies and Institutions (during times of bullish euphoria) to achieve higher wages to implement wage labor market have implemented institutional cause unemployment (despite the continued expansion of credit). But things get worse when, finally, the inevitable downturn occurs and begin to raise prices. These institutions reject any cuts in nominal wages so that unemployment will rise. ( Incidentally those workers who, despite everything, still working, will see increases in their nominal wages ). The millions of unemployed constitute serious threat to internal peace. Faced wit...

El presente artículo, siguiendo a Alonso Neira, Rallo Julián y Philipp Bagus, describe sistemáticamente los antecedentes teóricos de la incidencia de la política monetaria en los ciclos económicos, considerando que los economistas han tratado de explicar porqué la Producción muestra ciclos de duración variable. Esta explicación intenta determinar tres aspectos: 1) Qué tipo de perturbación –exógenao endógena, real o monetaria– golpea a la producción generando ciclos; 2) qué canales de transmisión expanden esa perturbación por todo el sistema económico; y 3) qué factores inciden en la persistencia del ciclo económico, convirtiendo es aperturbación en ciclos de mayor amplitud y resistencia.Clasificación JEL: E32

This article systematically describes how monetary explanation of the business cycle explain show it influenced the monetary policy (in the short, medium and long term) economic cycles. The subject matter of suchan explanation is the ise of production and the subsequent global recession unavoidable.The essence of this explanation is that the Central Bank considered high interest rate market prompting the Central Bank to reduce it by an expansionary monetary policy (which maittain slow interest rate reference). This consideration induced him to take such a monetary policy that caused economic cycles.

The Government's role is to protect and defend life and property of people who are under its jurisdiction (against internal or external aggression) to settle disputes that may arise, and let the people (the other) free to achieve their goals. The role of government is to be guardian of the conditions that enable families and businesses achieve their goals. If the government does that, people could provide for themselves the best. When the government protects the rights of people to do what they want (as do not violate the equal freedom of others to do the same) will do what is born: to work, cooperate and trade with each other. Then, have the incentive to save, accumulate capital, innovate, experiment, seize opportunities and produce. The best policy is to limit government action to create conditions for people to achieve their own goals and live in peace with its neighbors. The role of ...

El inversionista puede libremente modificar su inversión. Si él es capaz de prever la futura situación del mercado con mayor precisión que los demás, se podrá concentrar en aquellas inversiones cuyo precio suba, evitando aquéllas cuyo precio baje. El inversionista puede libremente modificar su inversión. Si él es capaz de prever la futura situación del mercado con mayor precisión que los demás, se podrá concentrar en aquellas inversiones cuyo precio suba, evitando aquellas cuyo precio baje. Las ganancias y pérdidas provienen de la inversión de factores de producción en proyectos específicos. La especulación bursátil determina en quién inciden tales ganancias y pérdidas. La diferencia entre inversiones especulativas e inversiones productivas es de grado, no de esencia; toda inversión es especulativa. Las inversiones pueden resultar buenas o malas, pero siempre son es...

El presente Artículo demuestra que el Método matemático para estudiar Economía es un sistema de conocimientos que parte de falsos supuestos y conduce a erróneas conclusiones. La Estadística de precios es una forma de representar realidades históricas de los Precios. La Estadística de Precios es historia económica; por lo que el Índices de precios son datos de historia económica. Los economistas matemáticos al abordar la relación de precios y costos ignoran la operación del mercado y pretenden dejar de lado el uso del dinero ( ingrediente del cálculo económico). Sin embargo, implícitamente, suponen la existencia del dinero y su uso; ya que hablan (en general) de precios y costos, pretendiendo confrontar los precios con los costos. Los precios son magnitudes dinerarias; y los costos sólo expresados en términos monetarios entran en el cálculo económico. Otros economista...

El presente artículo describe las explicaciones monetarias de los ciclos económicos, considerando que la expansión del crédito ocurre mediante la excesiva emisión primaria y por ende la excesiva concesión de créditos bancarios efectuados respectivamente por el BCR y los bancos. Los obstáculos con que ha tropezado la explicación monetaria de las crisis cíclicas son de carácter teórico y político. Las continuas alzas y bajas de la actividad económica ; y la inevitable secuencia de auges y depresiones, son efectos provocados por los reiterados intentos de reducir el interés mediante la expansión del crédito. Es inevitable el colapso final del auge generado mediante la expansión del crédito. Solo cabe optar entre provocar más pronto la crisis poniendo fin a la expansión del crédito ; o dejar que la crisis del sistema monetario se produzca un poco más tarde. En la expli...

Este artículo señala que el empresario que prevé un alza de precios busca préstamos en el mercado dispuesto a pagar mayores intereses. El prestamista que prevé un alza de precios, solo otorga préstamos si el interés de mercado sube por encima del interés del mercado que prevalecía en una situación en la que se preveía una menor alza de precios. Al empresario no le asusta ese mayor interés de mercado; si considera que su proyecto será de tal rentabilidad que podrá soportar ese mayor interés de mercado. Tal prevista alza de precios desata una tendencia alcista del interés de mercado. Al variar la relación monetaria de origen monetario como ocurrió entre 1963-1993 previéndose una alza de precios; predominó la tendencia alcista del interés de mercado. Entonces, en todo préstamo se incorpora una Compensación por Alza de Precios. En el análisis del proceso de expansión...