Recommendations for Further Reading

摘要

This section will list readings that may be especially useful to teachers of undergraduate economics, as well as other articles that are of broader cultural interest. In general, the articles chosen will be expository or integrative and not focus on original research. If you write or read an appropriate article, please send a copy of the article (and possibly a few sentences describing it) to Timothy Taylor, preferably by e-mail at (taylort@macalester.edu), or c/o Journal of Economic Perspectives, Macalester College, 1600 Grand Ave., Saint Paul, Minnesota, 55105.rnDavid Greenlaw, Jan Hatzius, Anil K Kashyap, and Hyun Song Shin discuss "Leveraged Losses: Lessons from the Mortgage Market Meltdown." "[T]he credit crisis was not an across-the-board deterioration of all credit markets, but-at least in its early stages-an acute crisis that affected certain markets while leaving others virtually unscathed. At the epicenter of the turmoil are mortgage-related securities .... [T]he incidence of the losses (i.e., who bears the losses) is as important as how large those losses are. The characteristic feature of the financial intermediary sector is that it is composed of leveraged institutions whose capital is a small proportion of the total assets they hold. Credit losses deplete their capital cushion.