The Great Recession: Market Failure or Policy Failure?

Preface 1. The 2008-9 recession: market or policymaker failure? 2. Recessions: financial instability or monetary mismanagement? 3. The great contraction: 1929-33 4. Monetary policy and bank runs in the great contraction 5. Vigorous recovery and relapse: 1933-9 6. Inter-war international monetary experiments 7. Identifying the shocks that cause recessions 8. From stop-go to the great moderation 9. Controlling bank risk taking: market or regulator discipline? 10. The housing crash: subsidizing housing and bank risk taking 11. Bubble trouble: easy money in 2003 and 2004? 12. What caused the great recession of 2008-9? 13. What caused the great leverage collapse? 14. The distinctions between credit, monetary, and liquidity policy 15. Fed market interventions: the experiment with credit policy 16. Evaluating policy: what are the relevant counterfactuals? 17. The business cycle: inherent instability or monetary instability? 18. Why is learning so hard? 19. How should society regulate capitalism: rules vs. discretion?

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