Government interventions and the Cobra effect – Part II
| | | | | |

Government interventions and the Cobra effect – Part II

ByClaudio Grass

Part II of II Unsound money, unsound society  Of course, one of the most important and consequential parts of the incredibly complex organism that is the economy is money itself. It is its lifeblood and as the song goes, “it makes the world go round”. Therefore, manipulating the currency itself is…

Government interventions and the Cobra effect – Part I
| | | | | |

Government interventions and the Cobra effect – Part I

ByClaudio Grass

Part I of II Almost two decades ago, German economist Horst Siebert coined the term the “Cobra effect” to describe the real-world consequences of “well-intentioned” government interventions that go awry and produce the exact opposite results from what they aim for. The term was inspired by an incident that took place in…