A Crash Course on Crises: Macroeconomic Concepts for Run-Ups, Collapses, and Recoveries

The macroeconomics of financial crises is explored in the book A Crash Course on Crises, which is essential for students and policy experts. It identifies the seeds of these crashes, reveals their triggers and consequences, and explains what policymakers can do about them.

Format: Hardback
Length: 136 pages
Publication date: 06 June 2023
Publisher: Princeton University Press

Macroeconomic crises, stemming from the financial sector and impacting the broader economy, have become increasingly prevalent in modern times, resulting in severe and prolonged recessions. To address this pressing issue, Markus Brunnermeier and Ricardo Reis have authored A Crash Course on Crises, a comprehensive guide that delves into the origins, triggers, and consequences of these crises. The book is divided into ten self-contained chapters, each focusing on a key economic force and providing illustrative case studies to demonstrate its dominance.

In the run-up phase of a crisis, Brunnermeier and Reis highlight the potential for preventable events that may go unnoticed. They examine how debt contracts, banks, and a search for safety can act as triggers and amplifiers, driving the economy toward a crash. The authors then explore how monetary, fiscal, and exchange-rate policies can be employed to respond to crises and prevent their persistence.

A Crash Course on Crises spans a wide range of case studies, from the 1970s Chilean economic crisis to the recent COVID-19 pandemic. By synthesizing a vast literature into ten simple and accessible ideas, the book offers a clear analytical framework for understanding these complex concepts. Novel diagrams and visual aids further enhance the reader's understanding and engagement with the material.

This book is a valuable resource for students, policy experts, and anyone interested in gaining a deeper understanding of macroeconomic crises and their implications. It provides a comprehensive and accessible overview of the subject matter, making it an essential read for those seeking to navigate the challenges of the modern economy.

Weight: 354g
Dimension: 161 x 243 x 17 (mm)
ISBN-13: 9780691221106