6533b7d8fe1ef96bd126a120

RESEARCH PRODUCT

From 2009 to 1929

subject

description

The current and still unfolding crisis of our economic system shows disturbing resemblances to the Great Depression in terms of magnitude, triggering mechanisms, and curative public interventions. This paper compares the experience, mechanisms, and consequences of these two crises in light of the analysis of Fisher, Keynes, and Minsky. This analysis proves very useful for understanding the triggering mechanisms of the current crisis, as well as its propagation mechanisms. It also addresses two dilemmas within the debate about the curative as well as preventive measures for getting out of the crisis and avoiding a new disaster: the dilemma of monetary activism and that of liquidity.