Barry Eichengreen

Thoughts about the Subprime Crisis

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Abstract

This paper provides reflects on various aspects of the subprime crisis. It asks why events originating in such a small corner of U.S. financial markets could exercise such dramatic effects. It explores what to do now - both in the short run, when the markets and the macroeconomy require stabilization, and in the longer run, when there will be a need for regulatory reform.

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