First published 2013
Blinder examines the 2007 financial crisis that brought America's economy to its knees. The U.S. financial system had become overly complex and dangerously underregulated. A perfect storm struck, causing the entire structure to crumble. The damage spread far beyond American borders, revealing how interconnected and vulnerable the global financial network had become. The world watched in horror as the crisis unfolded. Blinder then turns to the government response that prevented complete economic collapse. American and international authorities took unprecedented actions, particularly through Federal Reserve interventions that seemed unthinkable before the crisis. These measures succeeded to a remarkable degree, though many people misunderstood their necessity and effectiveness. The worst outcomes were avoided. Blinder provides straightforward answers to lingering questions about the crisis and its aftermath. He acknowledges that future policy choices will be both controversial and unavoidable. The book serves as a crucial record of events that reshaped the global economy and will likely recur.
Genres: business, economics, non-fiction, 21st-century, finance, academic
Vibes: analytical, informative, thought-provoking
Tropes: investigative-journalism, policy-analysis
Period: 2007
496 pages · Hardcover · Penguin Press