Protecting Financial Markets: Lessons from the Subprime Mortgage Meltdown

34 Pages Posted: 18 Mar 2008 Last revised: 5 Jun 2012

Steven L. Schwarcz

Duke University School of Law

Multiple version iconThere are 2 versions of this paper

Abstract

Why did the recent subprime mortgage meltdown undermine financial market stability notwithstanding the protections provided by market norms and financial regulation? This article attempts to answer that question by identifying anomalies and obvious protections that failed to work, and then by examining hypotheses that might explain the anomalies and failures. The resulting explanations provide critical insights into protecting financial markets.

Suggested Citation

Schwarcz, Steven L., Protecting Financial Markets: Lessons from the Subprime Mortgage Meltdown. Minnesota Law Review, Vol. 93, No. 2, 2008; Duke Law School Legal Studies Paper No. 175. Available at SSRN: https://ssrn.com/abstract=1107444

Steven L. Schwarcz (Contact Author)

Duke University School of Law ( email )

210 Science Drive
Box 90362
Durham, NC 27708
United States
919-613-7060 (Phone)
919-613-7231 (Fax)

Paper statistics

Downloads
1,137
Rank
3,295
Abstract Views
3,373