The Great Financial Crisis: Causes and Consequences
Monthly Review Press, Jan 1, 2009 - Business & Economics - 160 pages
In the fall of 2008, the United States was plunged into a financial crisis more severe than any since the Great Depression. As banks collapsed and the state scrambled to organize one of the largest transfers of wealth in history, many—including economists and financial experts—were shocked by the speed at which events unfolded.
In this new book, John Bellamy Foster and Fred Magdoff offer a bold analysis of the financial meltdown, how it developed, and the implications for the future. They examine the specifics of the housing bubble and the credit crunch as well as situate current events within a broader crisis of monopoly-finance capitalism—one that has been gestating for several decades. It is the "real" productive economy's tendency toward stagnation, they argue, that creates a need for capital to find ways to profitably invest its surplus. But rather than invest in socially useful projects that would benefit the vast majority, capital has constructed a financialized "casino" economy that neglects social needs and, as has become increasingly clear, is fatally unstable. Written over a two-year period immediately prior to the onset of the crisis, this timely and illuminating book is necessary reading for all those who wish to understand the current situation, how we got here, and where we are heading.
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Review: The Great Financial Crisis: Causes and ConsequencesUser Review - Titus Hjelm - Goodreads
Poignant and clearly written socialist critique of where the USA was heading in the early days of the crisis. It got worse... Read full review
Review: The Great Financial Crisis: Causes and ConsequencesUser Review - Zachary Welch - Goodreads
With sobering clarity, Foster and Magdoff provide a unique and historical perspective to the latest economic meltdown, tracing its roots to the financialization of capital and a chronic tendency towards stagnation in the "real" economies of advanced industrial societies. Read full review