Austrian Economics in Action: Ron Paul versus Barney Frank

Here's a recent interview with Ron Paul on Morning Joe. Joe reads a prophetic speech that Ron Paul made in 2003 explaining Fannie Mae and Freddie Mac's roles in the housing bubble and predicting exactly what would happen.




Here's a speech from Barney Frank in 2005 (two years later) explaining how it was impossible for there to be a housing bubble.



For those of us who subscribe to the theories of Austrian Economics, it isn't surprising that Ron Paul could see in 2003 what Barney Frank still couldn't see in 2005.

By the way, guess which one of these politicians was one of the top recipients of campaign donations from Fannie Mae and Freddie Mac.