The whole subprime mortgage crisis and the ensuing free-falling economy makes no sense at all in the rules of Keynsian or Marxist economics. This does not mean they are pure chaos, or the result of some kind of massive conspiracy. It really means that Keynes has been once again proven a fraud. Marx too, as if we need another demonstration. Pay attention to the Austrians to understand what is really going on. The linked article was written in 2005 and summarizes very well Bush’s economic mistakes and their implications, including exactly what we are going through now. This point meets up with Wretchard’s point in the Austrians’ insistence that the US must end the Fed. The Fed and its constant monetary inflation is the only thing that allows Congress to engage in deficit spending, to bail out companies that cannot compete, and to insert its unwelcome tendrils of regulation into every nook and cranny of American life.