Minsky Crisis

摘要

Hyman P. Minsky's insight that stability is destabilizing underlies his analysis of an economy's transformation from robust to fragile over a long period of time. Similarly, Senior Scholar L. Randall Wray argues that the causes of the current crisis resulted from a slow transformation that actually began in 1951. Thus, the collapse of "money manager capitalism" should be termed the "Minsky half-century" as opposed to a "Minsky moment." Wray notes that economic crises became more frequent and severe in the postwar period, so that another Great Depression and debt deflation were possible. Policymakers removed New Deal regulations and institutions, and substituted "self-regulation" in place of government oversight. He calls for a return to a more sensible model of global finance, one designed to achieve sustainable development. This model would include enhanced oversight of financial institutions, a structure that promotes stability rather than speculation, a bigger role for government, and a new economic paradigm.