Comment éviter la prochaine crise financière mondiale ?

20 May, 2019 at 16:43 | Posted in Economics | 1 Comment


1 Comment

  1. Central banks act as insurers of last resort. The private sector innovates new net financial assets, then in a panic when liquidity hyperinflates, central banks buy up the new net assets as needed, or accept them as collateral against newly issued money. We don’t have to worry about financial crises because they are not about real shortages. Financial crises are psychological events and central banks can end them by asserting a different psychology backed by issuance of unlimited liquidity.

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