Journal Article

Solving the present crisis and managing the leverage cycle


Abstract: Yale University professor John Geanakoplos discusses implications of ?the leverage cycle??a phenomenon in which leverage is excessive prior to a financial crisis and unacceptably low during the crisis?for regulatory policy and reform. Presented as the keynote address at \"Central Bank Liquidity Tools and Perspectives on Regulatory Reform\" a conference sponsored by the Federal Reserve Bank of New York, February 19-20, 2009.

Keywords: Financial market regulatory reform; Assets (Accounting); Investments; Equilibrium (Economics); Financial crises; Housing - Prices; Swaps (Finance); Default (Finance); Uncertainty; Federal Reserve System;

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Bibliographic Information

Provider: Federal Reserve Bank of New York

Part of Series: Economic Policy Review

Volume: 16

Issue: Aug

Pages: 101-131