Austrian Economics is a small school of mostly online Libertarian commentators that has gained popularity due to its large internet presence. The school has relatively little academic support and mainstream economics rejects many of the views espoused by its adherents. Much of Austrian Economics can be boiled down to the oversimplified idea that free markets are good and governments are bad. I don’t disagree with this view necessarily and find a good deal to agree with in the idea that the government should do less and downsize, but there can be a tendency to overstate this view in Austrian Econ. More importantly, I find several operational errors in the Austrian Econ description of the financial system. I’ve previously covered most of the myths espoused by Austrian adherents. While useful in some ways, the Austrian school has a tendency to play more politics than economics. This is a brief overview of some operational issues I find with the Austrian view.