Friedman on the Financial Crisis

What would the late Milton Friedman have said about the current financial crisis?  That’s the question that Peter Robinson discusses in this piece in Forbes magazine with his colleagues, Thomas MaCurdy and Jay Bhattacharya, at the Hoover Institution with which Milton was affiliated during the last three decades of his life.  The discussion centers around these questions:

• Would Milton have seen this crisis coming?
• Whom would Milton have blamed?
• What would Milton have made of government efforts to address the crisis?
• What would Milton have seen as the principal danger to the economy that the crisis now poses?
• Would Milton have seen the crisis as a setback for capitalism?

Read and discuss!