Economic theory and current global financial crisis
AbstractEconomic systems as inherently unstable like financial markets and we should not seek to achieve perfect stability. A strategy may have more support would involve allow-ing, and sometimes encouraging, a larger short-term cycles, using drop smaller, more fre-quent work to rid the system of excesses. In this way, it can be avoided crises forced the kind where we are now. To achieve this policy it would require recognition of the impor-tance of the volume of excessive credit growth and excessive decline in the volume of credit, and a review of our attitudes related to central bank policy and economic cycles. Normally we should not consider any economic contractions as failures of government policies, but to see them as a normal part of development of a healthy economy. We should strive to achieve some of this improved stability by encouraging greater self-discipline of the financial market participants. It would be useful in a clear message ex-plaining under-basis limitations on certain macroeconomic variables and the value of oth-ers; significance of monitoring credit creation should be increased.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by University of Craiova, Faculty of Economics and Business Administration in its journal Finance - Challenges of the Future.
Volume (Year): 1 (2010)
Issue (Month): 11 (May)
financial crisis; debt; tax supervision;
Find related papers by JEL classification:
- G01 - Financial Economics - - General - - - Financial Crises
- H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
- E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Alina Manta).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.