Krugman Isn't (Quite) Right About Austrian Economics 
Quote: But the Times' famous scribe isn't quite right when it comes to a broader point about the Austrian school of thought, the linchpin of free market economics. Krugman is right that many self-styled Austrian economics mavens predicted high inflation. The Austrian model, however, does not.
Part of the confusion lies in the well-known definitional dispute over what is meant by the term "inflation." In general, most people and economists use inflation to mean "rising prices." Austrian economics, however, treats rising prices as a contingent phenomenon of an increase in the money supply.
In other words, Austrians will insist that any increase in the money supply is inflation—as a matter of definition. But Austrian economics does not insist that this kind of inflation necessarily results in higher prices.
Funniest thing I read in a long time...................
Even funnier when you read more by "the author".........
http://www.cnbc.com/id/100285772 
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