The 2008 financial crisis is widely touted as supporting the case for more bank regulation and taxation to deal with systemic risk. This claim, however, often rests on dubious ideas about the effects of borrowing and the causes of herd behavior.
Read the Full Article
(PDF, 20 pages)
|Other Independent Review articles by Bogdan Glăvan|
|Fall 2008||Coordination Economics, Poverty Traps, and the Market Process: A New Case for Industrial Policy?|