After the Crash: Designing a Depression-free Economy
This book analyzes in a new way the causes of the current crash by showing how such events derive from real estate bubbles and their interactions with banks and other lenders. It explains the current crisis, but in the process, the author develops a general theory of capital (drawing on Wicksell) showing how excessive investing in durable capital of slow payback can destabilize and then freeze up a modern economy, which requires constant circulation and renewal of capital to function. Combining that analysis with observed cycles of land speculation, Gaffney shows how a “perfect storm” formed and now has overwhelmed the economy.
What people are saying - Write a review
We haven't found any reviews in the usual places.
Other editions - View all
assessment assets Available online banking system beneﬁts bias biases boom borrowers building tax capital gains capital investment cash ﬂow cause collateral conﬁdence construction consumer cost create crises crisis cycle decline demand deposits depreciation depression Detroit durable capital economic economists effect efﬁciency employment factor farm favor Federal Reserve Federal Reserve System ﬁnance ﬁnancial ﬁnancial system ﬁnd ﬁrms ﬁrst ﬁscal ﬁxed ﬂowing capital foreclosures growing capital growth higher housing prices income tax increase inﬂation inﬂuence inputs intensity interest rates Keynesians Krugman labor land and capital land prices land speculation land taxes land values lending liquidity loans macroeconomics marginal Mason Gaffney ment monetary mortgage Mortgage Bankers Association Ofﬁce Paul Krugman payroll period problem production proﬁts property tax real bills doctrine real estate bubbles reinvestment rise service ﬂow signiﬁcant spending subprime substitute tax on land tax rate turnover U.S. Bureau U.S. Department wage wage share workers