In 1985, I enrolled in an external degree program in pure economics offered by the University of London.

I chose the course for two reasons.

As a foreigner, I couldn’t afford to study in England and as an “eager learner,” I wanted to find out what actually underlies many contemporary economic issues such as inflation and economic downturns.

Thus, it was a joyful occasion when I received the letter of acceptance.

I thought, at that point in time, I would be able to learn a lot from economics since it had a reservoir of theories that purported to “explain” and “predict.”

But after reading book after book and article after article on economics during the course (as an external student I had no chance to meet any of the teaching professors), I was greatly disappointed.

What happened?

Every time I looked out the window whenever I was baffled by an economic model, I realized the world would go on regardless of my predicament. In other words, it seemed to me what was going on in this world was one thing, but the subject I struggled to master was another.

How could income, consumption, investment and saving in John M. Keynes’ set of equations be linked by a few equal signs and then be used to save an economy from its downturn?

How can we apply the equation developed by Milton Friedman to supply money in the real world?

No economist seems to bother about these simple and, yet, crucial questions in their works.

Hence, when I learned about how income or money could be multiplied to become a few dollars in an economy when a dollar is “invested” or “deposited,” I was relieved. It became clear to me that economists must be living beyond the boundaries of this world!

But should I tell people that all economic theories are actually groundless and erroneous?

I hesitated, at first.

I guessed the task of debunking economics wasn’t simple.

Most likely, people would brand me as a lunatic if I insisted that economics is useless.

But after much struggle, I told myself that the stigma was bearable. Thus, in 1995, or 14 years ago, I began the journey as an amateur writer.

And after reading the first two parts of this book, do you find me all along living within the boundaries of this world?

Or would you consider me a senseless person since I say nothing good about economics--a subject in which no business graduate is expected to fail?

And what if you really think I am insane or not a sensible person?

If you do, then tell me: Will you “stop” your government from running budget deficits from now on since I tell you they contribute to inflation?

I hope not.

Only a lunatic would turn down the money to be handed to him by his government.

Hence, do not consider me a freak when I ask you to embrace inflation, which is an amount of money created by the government to finance its budgetary deficits but described by economists as a “monster,” and let me show you in this chapter how fallacious economists are about high prices, the cause of an economic downturn and the economic roles of the government.

First are high prices.

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