The Origin of Financial Crises
This book provides an analysis of the forces behind today's economic crisis. The author challenges the core principles of today's economic orthodoxy. He goes on to explain why financial markets do not obey the market principles described in today's economic textbooks and consequently are always crisis prone. He further describes the evolution of our modern monetary system and explains how financial instability emerged and why this instability required the development of central banking. The author claims misguided faith in the power of free markets has led some central banks to neglect their core role of managing the financial system and instead caused them to pursue policies which propel financial cycles of boom and bust.