What happens when a society consumes its seed corn? What is capital consumption, and why does it matter? In this episode, Mark Thornton examines how inflation, deficit spending, and distorted market signals quietly erode the productive assets that fuel economic growth. Drawing on Austrian economics and insights from investor Rick Rule, Mark explains how governments and central banks incentivize the misuse of capital, leading to stagnation, underinvestment, and long-term decline. Understanding this unseen destruction is key to making sense of today’s economic malaise.

See also "Rick Rule: Shortages In Key Natural Resources To Define Next Decade": https://mises.org/MI_132_A

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Capital Consumption

Bob takes on a proposal for New York City to run its own grocery stores, dismantling the historical myths, economic fallacies, and rhetorical tricks behind the idea. From Flint’s water crisis to “food deserts,” he explains why government control will create shortages, low-quality food, and wasted resources.

The Jacobin Article, "Municipal Grocery Stores Are Sensible and Obvious": https://Mises.org/HAP512a

Why Zohran Mamdani’s Socialist Supermarkets Wont' Feed NYC

The disheartening and frustrating fact is that Russia is in a much stronger negotiating position now than they were earlier in the war, when Western officials convinced Ukraine to walk away from peace talks and fight.

Read the article here: https://mises.org/mises-wire/trump-putin-meeting-how-we-got-here

Be sure to follow the Guns and Butter podcast at https://Mises.org/GB

The Trump-Putin Meeting: How We Got Here

A new July report shows Trump and the GOP Congress have joined forces to drive up federal spending to the highest levels since covid. The federal debt also just passed $37 trillion.

Be sure to follow the Loot and Lobby podcast at https://Mises.org/LL

Trump Is Spending Taxpayer Money at Record Levels

In his important lectures on the history of political thought, historian Ralph Raico examined five myths that many still believe about classical liberalism and the origins of modern ideology. 

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Five Myths about the History of Political Thought

As central bankers descend on Jackson Hole for their annual gathering, Mark Thornton explores the history, politics, and pageantry of the world’s most exclusive monetary policy conference. From its origins as a small agricultural meeting to a global elite summit shaped by Paul Volcker’s love of fly fishing, the event now serves as a stage for off-the-record conversations, coordinated strategies, and public displays of “confidence.” With the US economy facing stagflation, debt explosions, and political pressure on the Fed, the real drama lies not in the official speeches, but in the private exchanges among the world’s leading “money printers.”

See also "About the Jackson Hole Economic Policy Symposium" (Federal Reserve Bank of Kansas City): https://mises.org/MI_133_A

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Stuck in Jackson’s Hole

Few really understand why these blue cities are crime-ridden. It’s not merely a lack of resources or even progressive ideology. At the root of the problem are governments working hard to maintain a monopoly on a service they then refuse to provide.

Read the article here: https://mises.org/mises-wire/trumps-dc-takeover-missing-point

The Mises Institute is giving away 100,000 copies of Hayek for the 21st Century. Get your free copy at https://mises.org/IssuesFree

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Trump’s DC “Takeover” Is Missing the Point

In his underappreciated work The Mystery of Banking, Murray Rothbard first explained how a regime of "free banking" would put strict limits on the ability of the private commercial banks to reduce their reserve ratios and inflate the money supply. Then Rothbard showed that the textbook operation of a central bank systematically neutralized the market's safeguards, and paved the way for credit expansion by a cartel of privileged private banks.

The Mystery of Banking by Murray N. Rothbard: https://mises.org/HAP514a

"How Private Banks Can Create Money, But Not Like the Fed Can" (Human Action Podcast): https://mises.org/HAP514b

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Why Rothbard Thought the Fed Eliminated Market Safeguards Against Bank Inflation

Economist Jeff Degner joins Ryan McMaken to discuss how inflationary monetary policy has changed our culture, and the family with it.

Free Book: Get your copy of Hayek for the 21st Century, featuring Hayek’s classic essays on liberty, knowledge, and markets. Claim yours at https://mises.org/Hayek21

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Inflation and Family Economics

On this episode of Minor Issues, Mark Thornton responds to Charlie Kirk’s “most controversial take” on cannabis and drug policy. Mark contrasts Kirk’s opposition to reclassification with the long history of prohibition as a Progressive project, showing how state intervention—not liberty—is responsible for urban decay, social breakdown, and the failures of drug policy. Drawing on examples from alcohol and cannabis prohibition to today’s welfare state, Mark argues that addiction is fueled less by markets than by the permissive culture and coercive power of government.

"Should America Reclassify Weed?" (Charlie Kirk Show): https://mises.org/MI_134_A

"Drug Warriors Claim Colorado Going to Pot" by Mark Thornton: https://mises.org/MI_134_B

"The Oregon Problem: It’s Not Drugs! It’s the Socialistic Political Culture" by Mark Thornton: https://mises.org/MI_134_C

"The Oregon Problem" (Minor Issues Podcast): https://mises.org/MI_48

"Measure 110 and Property Rights" (Minor Issues Podcast): https://mises.org/MI_55

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Charlie Kirk on Drugs: Addicted to Progressive Values?

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Five Myths about the History of Political Thought

Mises Institute

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