The most likely cause of a future financial crisis isn't the banks, it's the non-banks. They're enormous, they're much less regulated than banks are, and they tend to have much greater leverage.
Felix Salmon
Showing posts with label 2008 Financial Crisis. Show all posts
Showing posts with label 2008 Financial Crisis. Show all posts
12 November 2018
21 September 2018
20 September 2018
19 September 2018
18 September 2018
The financial crisis and the foundations for macroeconomics
Yet it has to be acknowledged that the principle of building macroeconomics on microeconomic foundations, as applied by economists, contributed next to nothing to predicting, explaining or resolving the Great Recession. The insights into the financial meltdown that policymakers found most valuable came from scholars, such as Hyman Minsky and Charles Kindleberger, who thought in terms of broad aggregates and made no effort to establish micro foundations. The market participants, such as Ray Dalio, who were most prescient with respect to the crisis ignored microeconomics as they theorized in terms of debt and credit aggregates.
Larry Summers
Larry Summers
17 August 2018
08 August 2018
What Economists Still Don’t Get About the 2008 Crisis
To lots of people, it seems obvious that the 2008 crisis was long in the making — the product of years of financial and regulatory folly. In general, the notion that economic booms cause busts, instead of being random unrelated events — an idea advanced by the maverick economist Hyman Minsky — seems to have much more currency beyond the ivory tower than within it.
Noah Smith
Noah Smith
09 January 2018
01 January 2018
12 December 2017
13 September 2017
14 June 2017
14 March 2017
08 February 2017
26 January 2017
12 December 2016
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