Saturday kicked off with a documentary Overdose: A Film about the Next Financial Crisis, narrated by a Cato scholar and author Johan Norberg. Shortly following was David's last talk at the seminar on the Banking and Business Cycle with an emphasis on the process fiat money is created by central banks and the impact the monetary policy has on the economy.


After lunch, Cato's Mark Calabria and Dan Mitchell joined the staff, making Saturday the economics majors' delight.

Mark's talk was on Deregulation, Crisis and Reform. The Financial Crisis: A failure of Government or Markets?. He suggested a plan of reform including the elimination of Federal Reserve's bailout ability and privatization of Freddie Mac and Fannie Mae.

In the afternoon, Dan Mitchell explained that governments could get out of the debt crisis by making sure that government spending should grow slower than nominal GDP. The caveat is that most politicians are not fond of this solution because by doing that they limit their ability to 'buy votes with other people's money'.