At LibertyWorks we are lucky enough to have two noted economists on our advisory board: Dr John Humphreys President of the Australian Libertarian Society (ALS), Deputy Director of the Australian Taxpayers Alliance (ATA), and a Justice of the Peace in QLD; and Darren Brady Nelson an Austrian school economist, conservative libertarian and currently the economic policy adviser to Australian Senator Malcolm Roberts. We recently published an article by Darren Nelson on fractional reserve banking that he describes as ‘legalised counterfeiting’. Dr Humphreys has a different view.
At the recent Mises Seminar in Sydney there was a speech by Chris Leithner that explicitly called for the banning of fractional reserve (FR) banking. Leithner and other Australian libertarians follow the lead of some American libertarians (Walter Block, HH Hoppe, JG Hulsmann — BHH) and argue that FR-banking is fraud and should be banned, and further that it is economically damaging … Read the rest