The Financial Crisis of 2007-2009: A Sketch of a Credible Explanation

19 Pages Posted: 5 Apr 2013  

Mark Hannam

University of London - School of Advanced Studies, Institute of Philosophy

Date Written: March 29, 2013

Abstract

This paper provides a sketch of what a credible explanation for the financial crisis of 2007-09 might look like. It reviews in brief what I take to be the most important causal relationships: between US property prices and the liquidity of mortgage backed securities; between regulatory incentives and wholesale market behaviour; between macro-economic policy and financial asset prices; and the political imperative to adopt social policies that (temporarily, at least) mitigated some of the consequences of global economic development.

Keywords: Financial crisis, property prices, regulatory capital, Triffin dilemma

JEL Classification: E44, G01, G21, G23, G28

Suggested Citation

Hannam, Mark, The Financial Crisis of 2007-2009: A Sketch of a Credible Explanation (March 29, 2013). Available at SSRN: https://ssrn.com/abstract=2245306 or http://dx.doi.org/10.2139/ssrn.2245306

Mark Hannam (Contact Author)

University of London - School of Advanced Studies, Institute of Philosophy ( email )

London, WC1E 7HU
United Kingdom

Paper statistics

Downloads
162
Rank
151,053
Abstract Views
698