Overview
"This book analyses the logic of applying the American Post-Keynesian economist Hyman Minsky’s Financial Instability Hypothesis (FIH) to the financial crisis of 2007–08. Arguing that most theories of financial crisis, including Minsky’s own, only describe events, but do not actually explain them, the book surveys theories of financial crisis that have been developed to describe instability in the post-WW2 US financial system and analyses them in their historical context. The book argues that explanation of the financial crisis of 2007–08 should involve interpretation of the concept of 'risk', which guides the construction and pricing of contemporary financial products such as derivatives and asset backed securities, as a form of 'liquidity', the concept that Minsky sought to explain the financial crises of the 1970s and 1980s with. The book highlights the continuing relevance of Minsky’s theory of liquidity crisis as ""immanent"", in a historical sense, to the products and trading practices of modern finance, because these products were developed to obviate the crisis dynamics that Minsky described. Minsky's FIH can therefore inform historical understanding of the crisis of 2007–08 but is not directly explanatory itself. The book explores explanation of the financial crisis of 2007–08 interpreting 'liquidity', in practical historical terms, as involving a process of development out of prior crisis dynamics. Seeking to contribute to debates over the causes of the financial crisis of 2007–08 by blending a discussion of historicizing philosophy, economic theory and contemporary financial banking and trading practices this work will be of great interest to scholars of international political economy, heterodox economics and critical theory."
Full Product Details
Author: Chris Jefferis (University of Sydney, Australia.)
Publisher: Taylor & Francis Ltd
Imprint: Routledge
Weight: 0.317kg
ISBN: 9781138847323
ISBN 10: 1138847321
Pages: 148
Publication Date: 24 February 2017
Audience:
College/higher education
,
Tertiary & Higher Education
,
Undergraduate
Format: Hardback
Publisher's Status: Active
Availability: In Print
This item will be ordered in for you from one of our suppliers. Upon receipt, we will promptly dispatch it out to you. For in store availability, please contact us.
Author Information
Chris Jefferis is post-doctoral research fellow in the Department of Political Science at Freie Universität’s John F. Kennedy Institute for North American Studies. He is also a joint recipient of an Institute for New Economic Thinking (INET) research grant analysing 'Financial Innovation and Central Banking in China: A Money View'.
