Professor Mark Blyth and Professor Adam Tooze explore how coronavirus is laying bare the hidden risks embedded within our financial systems and how central banks worldwide are scrambling to paper over those chasms of danger. To them, it seems that the Federal Reserve has rewritten its remit, and they discuss how rather than try and keep prices stable or keep unemployment low, the sole focus of the Fed right now seems to be supporting asset prices at any cost, even if that means bailing out leveraged entities who took on too much risk. They also discuss Europe and how this crisis is heightening the contradictions within the Eurozone and pushing the European banking system to the brink. Filmed on April 22, 2020.
Governments the world over are spending like crazy to try and steer their economies through the COVID-19 crisis. Whether it’s the fiscal policies of the government or the monetary policies of the central bank, it […]
Anat R. Admati holds a bachelor’s degree from Hebrew University in Jerusalem and a doctorate from Yale University, and is a professor of finance and economics at the Stanford Graduate School of Business. Her recent […]