In Mises Daily today. Only one of them explains booms and bubbles:
MT: So the central bank is the ultimate cause of the business cycle. Its actions first cause such things as heightened optimism and technological innovations during the boom that ultimately end up being malinvestments, damaged expectations, and depression in the bust.
MI: So ABC theory helps economists spot a bubble?
MT: Back in 2004, I wrote an article that shows that by using the ABC theory, Austrian economists were able to observe the economy of the early 2000s and detect signs of the existence of a housing bubble where others could not. And Walter Block has showed that numerous Austrian economists and “Austrian” financial analysts published warnings of a housing bubble. The vast majority of mainstream and government economists saw no major problems in the economy at this time. In fact, as we came closer to the bubble collapsing, there were more denials of a housing bubble and more claims of the emergence of a new paradigm.