The present financial crisis poses two main questions: whether it is similar to past crises and how central banks should intervene to preserve the stability of the system.
Bagehot, central banking, and the financial crisis
Xavier Vives, 31 March 2008
The Need for an Emergency Bank Debt Insurance Mechanism
Javier Suarez, 27 March 2008
The so-called subprime crisis that started in the Summer of 2007 has created an unprecedented situation in global money markets. Essentially all market means for the short and medium term financing of banks (from traditional interbank deposits to the most ingenious forms of securitization) exhibit large spreads and shrunk volumes of transactions.
Lessons from Northern Rock: Banking and shadow banking
Willem Buiter, 4 March 2008
Two highly readable reports on the lessons learnt from the Northern Rock debacle have been published recently. The first is the Treasury Committee Report The Run on the Rock published on January 26.
Not (Yet) a `Minsky Moment'
Charles W Calomiris, 23 November 2007
The late Hyman Minsky developed theories of financial crises as macroeconomic events. The economic logic he focused on starts with unrealistically high asset prices and buildups of leverage based on momentum effects, myopic expectations and widespread overleveraging of consumers and firms.
How to avoid further credit and liquidity confidence crises
Guillermo de la Dehesa, 19 October 2007
The US banking authorities and the EU finance ministries, central banks and supervisory authorities are both trying to design a roadmap to strengthen financial stability and crisis prevention after experiencing the effects of present confidence crisis.
Does lack of liquidity impair entrepreneurs?
Hans K. Hvide, 28 September 2007
One of the oldest ideas in the study of entrepreneurship is that entrepreneurs may be unable to establish a venture at an efficient scale due to liquidity-constraints arising from capital market imperfections.
Subprime crisis: Second-best solutions
Charles Wyplosz, 20 September 2007
What a difference a day or two can make!
- Fiscal consolidation: At what speed?Blanchard, Leigh
- Public debt and economic growth, one more timePanizza, Presbitero
- Escaping liquidity traps: Lessons from the UK’s 1930s escapeCrafts
- The lessons of the North Atlantic crisis for economic theory and policyStiglitz
- Do entrepreneurs matter?Becker, Hvide
- A tale of two depressions: What do the new data tell us? February 2010 updateEichengreen, O’Rourke
- Educated in America: College graduates and high school dropoutsHeckman, LaFontaine
- Eurozone breakup would trigger the mother of all financial crisesEichengreen
- Debt, deleveraging, and the liquidity trap: A new modelKrugman
- Panic-driven austerity in the Eurozone and its implicationsDe Grauwe, Ji
Reichlin, Baldwin, 14 April 2013
CEPR Policy Research
- Political Credit Cycles: The Case of the Euro ZoneFernández-Villaverde, Garicano, Santos
- Winning by Losing: Incentive Incompatibility in Multiple QualifiersDagaev, Sonin
- Income and schoolingBrückner, Gradstein
- Monetary Policy and Rational Asset Price BubblesGalí
- Does Supporting Passenger Railways Reduce Road Traffic Externalities?Lalive, Luechinger, Schmutzler
- How the EZ crisis is permanently changing EU institutionsMicossi
- WTO 2.0: Global governance of supply-chain tradeBaldwin
- Is US economic growth over? Faltering innovation confronts the six headwindsGordon
- The economic crisis: How to stimulate economies without increasing public debtWood
- Austerity: Too Much of a Good Thing?Corsetti