6' - The Price of Time: Interest, Money, and the Modern World
Edward Chancellor's The Price of Time explores the history of interest rates, arguing that artificially low rates, a recurring theme throughout history, have consistently led to malinvestment, asset bubbles, and, ultimately, economic crises. The book examines various historical episodes, from ancient Mesopotamia to the 2008 financial crisis, demonstrating the detrimental consequences of manipulating interest rates below their natural level. Chancellor highlights the work of economists like John Locke and Frédéric Bastiat, who warned against the dangers of easy money, and contrasts their insights with the policies of modern central banks. The book concludes by considering the implications of ultra-low interest rates in the modern era and their potential to lead to further economic instability.