Leverage? What Leverage? a Deep Dive into the U. S. Flow of Funds in Search of Clues to the Global Crisis

Author/creator Bayoumi, Tamim Author
Other author Bhatia, Ashok Vir Author
Format Electronic
Publication InfoWashington : International Monetary Fund
Description22 p.
Supplemental ContentFull text available from Ebook Central - Academic Complete

Summary Annotation This paper questions the view that leverage should have forewarned us of the global financial crisis of 2007-09, pointing to several gearing indicators that were neither useful portents of the onset of the crisis nor of its ferocity. Instead it shows, first, that the use of ill-suited collateral in the secured funding operations of U.S.-based investment banks was the fatal link between the collapse of structured finance and the global malfunction of funding markets that turbocharged the downdraft; and, second, that this insight (and others) can be decrypted from the Flow of Funds Accounts of the United States.
Access restrictionAvailable only to authorized users.
Technical detailsMode of access: World Wide Web
Genre/formElectronic books.
ISBN9781475545128
ISBN1475545126 (E-Book) Active Record
Stock number00013468

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