I wonder what Paul Krugman is thinking. In his latest attack on the Austrian school, Great Leaps Backward, he notes the rising tide of its popularity and describes it as a repudiation of 75 years of economic progress since the work of John Maynard Keynes.
Robert Murphy of the Mises Institute has been trying to shame Krugman into an economic debate by raising over $60,000 for charity should Krugman accept.
In this fantastic essay, Murphy rebuts Krugman’s latest assault. I highly recommend the essay, it includes the clearest explanation of Austrian Capital and Interest theories I’ve seen, followed by an exhaustive rebuttal.