Greek Debt and American Debt: Graduation Speech at the University of Athens Economics and Business School

14 Pages Posted: 1 Dec 2011

See all articles by John Geanakoplos

John Geanakoplos

Yale University; Santa Fe Institute

Date Written: November 1, 2011

Abstract

This is the graduation speech I gave on receiving an honorary doctorate at the University of Athens Economics and Business School. I talk about my Greek family, about how I got interested in economics, and then how in the 1990s I came to think about default, collateral, and leverage as the central features of the financial/macro economy, despite their complete absence (even now) from any textbooks. Finally I suggest that the Greek debt problem, and on a bigger scale, the American debt problem, can only be cured when lenders are prodded to forgive. That would be better for the borrowers but also for the lenders.

Keywords: Greek, Parents, Mathematical economics, Yale, Mortgage, Collateral, Securitization, Leverage, Foreclosure, Forgive, Principal

JEL Classification: D52, D53, E444, G01, G10, G12

Suggested Citation

Geanakoplos, John D, Greek Debt and American Debt: Graduation Speech at the University of Athens Economics and Business School (November 1, 2011). Cowles Foundation Discussion Paper No. 1837, Available at SSRN: https://ssrn.com/abstract=1967152

John D Geanakoplos (Contact Author)

Yale University ( email )

30 Hillhouse Avenue
New Haven, CT 06511
United States
203-432-3397 (Phone)

HOME PAGE: http://https://economics.yale.edu/people/faculty/john-geanakoplos

Santa Fe Institute ( email )

1399 Hyde Park Road
Santa Fe, NM 87501
United States

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
338
Abstract Views
1,388
rank
99,396
PlumX Metrics