Sectoral credit booms and financial stability / Kärsten Muller ; comment by Orsola Costantini. Part 4. Financial crises : reconsidering the origins and consequences. How to think about finance / Atif Mian ; comment by Karen Dynan -- Reconsidering the costs and benefits of debt booms for the economy / Emil Verner ; comment by Holger Mueller -- Part 2. Risk-taking : incentives, investors, institutions. Are bank CEO's to blame? / Rüdiger Fahlenbrach ; comment by Sameul G. Hanson -- A new narrative of investors, subprime lending, and the 2008 crisis / Stefania Albanesi ; comment by Fernando Ferreira -- Bank capital before and after financial crises / Òscar Jordà, Björn Richter, Moritz Schularick, and Alan M. Taylor ; comment by Anna Kovner -- Part 3. Mispricing risks : credit booms and risk premia. Beliefs and risk-taking / Alessia de Stefani and Kaspar Zimmermann ; comment by Yueran Ma -- A new approach to measuring banks' risk exposure / Juliane Begenau ; comment by Nina Boyarchenko -- Is risk mispriced in credit booms? / Tyler Muir -- Part 4. Financial crises : reconsidering the origins and consequences. Historical banking crises : a new database and a reassessment of their incidence and severity / Matthew Baron and Daniel Dieckelmann ; comment by Mark Carlson -- Was the U.S. Great Depression a credit boom gone wrong? / Natascha Postel-Vinah ; comment by Eugene N. White -- Sectoral credit booms and financial stability / Kärsten Muller ; comment by Orsola Costantini.
Summary:
"An authoritative guide to the new economics of our crisis-filled century. The 2008 financial crisis was a seismic event that laid bare how financial institutions' instabilities can have devastating effects on societies and economies. For a generation of economists who have risen to prominence since, the event has defined not only how they view financial instability, but financial markets more broadly. With these economists now representing the vanguard of the field and staffing the world's foremost economic institutions, their work constitutes a new canon of economic thought for the field and public policy. Leveraged brings together these vanguard voices to take stock of what we've learned about the costs and causes of financial fragility. Their message: the origins of financial instability in modern economies run deeper than the dry and technical debates around banking regulation, countercyclical capital buffers, or living wills for financial institutions. Financial crises are not black swans; they're a phenomenon endemic to capitalist economies. Over-optimism, neglected crash risks, or "bad beliefs" about risk and returns more generally, have emerged as an important explanation of recurring credit booms that pose such grave financial stability risks. The essays here mark a new starting point for research in financial economics. They provide a road map and a research agenda for the future. The new economics of debt and credit go to places that were off-limits to neoclassical finance before 2008. Today, as we muddle through the effects of a second financial crisis in this young century, Leveraged offers a sober, evolved approach to the economics we are only just discovering"-- Provided by publisher.
This resource is supported by the Institute of Museum and Library Services under the provisions of the Library Services and Technology Act as administered by State Library of Iowa.