The Panic of 1907: Lessons Learned from the Market's Perfect Storm"Before reading The Panic of 1907, the year 1907 seemed like a long time ago and a different world. The authors, however, bring this story alive in a fast-moving book, and the reader sees how events of that time are very relevant for today's financial world. In spite of all of our advances, including a stronger monetary system and modern tools for managing risk, Bruner and Carr help us understand that we are not immune to a future crisis." —Dwight B. Crane, Baker Foundation Professor, Harvard Business School "Bruner and Carr provide a thorough, masterly, and highly readable account of the 1907 crisis and its management by the great private banker J. P. Morgan. Congress heeded the lessons of 1907, launching the Federal Reserve System in 1913 to prevent banking panics and foster financial stability. We still have financial problems. But because of 1907 and Morgan, a century later we have a respected central bank as well as greater confidence in our money and our banks than our great-grandparents had in theirs." "A fascinating portrayal of the events and personalities of the crisis and panic of 1907. Lessons learned and parallels to the present have great relevance. Crises and panics are as much a part of our future as our past." "Who would have thought that a hundred years after the Panic of 1907 so much remained to be written about it? Bruner and Carr break significant new ground because they are willing to do the heavy lifting of combing through massive archival material to identify and weave together important facts. Their book will be of interest not only to banking theorists and financial historians, but also to business school and economics students, for its rare ability to teach so clearly why and how a panic unfolds." |
Contents
Introduction | 1 |
Wall Street Oligarchs | 7 |
A Shock to the System | 13 |
The Silent Crash | 19 |
Credit Anorexia | 29 |
Copper King | 37 |
The Corner and the Squeeze | 43 |
Falling Dominoes | 51 |
A City in Trouble | 105 |
A Delirium ofExcitement | 115 |
Modern Medici | 121 |
Instant and FarReaching Relief | 127 |
Turning the Corner | 135 |
Ripple Effects | 141 |
Lessons Financial Crises as a Perfect Storm | 151 |
The Subprime Crisis Commencing in 2007 | 173 |
Clearing House | 57 |
Knickerbocker | 65 |
contents Chapter 10 A Vote of No Confidence | 71 |
A Classic Run | 77 |
Such Assistance as May Be Necessary | 83 |
Trust Company of America | 89 |
Crisis on the Exchange | 97 |