Some reflections on financial fragility in banking and finance
Chick, V
8300 defect for UNSW Journal of Economic Issues , 31 (2) pp. 535-541. (1997)
1997
Keynes: investment causes saving, depends for its validity on some fraction of any new, higher level of investment being financed by the banks, because of their ability to finance in excess of saving
Problems: the amount of investment of financed by banks was probably always small, but it is probably shrinking
The system described in The general Theory, with all its threatening emphasis on uncertainty and instability, is a picnic by comparison.
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