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What Did We Learn from the Financial Crisis, the Great Recession, and the Pathetic Recovery?

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  • Alan S. Blinder

    (Princeton University)

Abstract

This paper comes in three parts. Part 1 reviews a few pertinent facts about the stunning economic events that have occurred in the United States (and elsewhere) since 2007. I choose these particular facts from among many for their relevance to the rest of the paper. The next two parts take up, first, some of the key lessons that we professional economists should have learned from the crisis and its aftermath and, second, some important lessons for teaching economics--especially but not exclusively macroeconomics. The two categories of lessons overlap a bit. But is it perhaps surprising how different they are.

Suggested Citation

  • Alan S. Blinder, 2014. "What Did We Learn from the Financial Crisis, the Great Recession, and the Pathetic Recovery?," Working Papers 243, Princeton University, Department of Economics, Center for Economic Policy Studies..
    • Handle: RePEc:pri:cepsud:243
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    References listed on IDEAS

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    1. Gorton, Gary B., 2010. "Slapped by the Invisible Hand: The Panic of 2007," OUP Catalogue, Oxford University Press, number 9780199734153, Decembrie.
    2. Carmen M. Reinhart & Kenneth S. Rogoff, 2009. "Varieties of Crises and Their Dates," Introductory Chapters, in: This Time Is Different: Eight Centuries of Financial Folly, Princeton University Press.
    3. John D. Ciorciari & John B. Taylor, 2009. "Introduction - The Road Ahead for the Fed," Book Chapters, in: John D. Ciorciari & John Taylor (ed.), The Road Ahead for the Fed, chapter 0, Hoover Institution, Stanford University.
    4. John B. Taylor, 2009. "The Need for a Clear and Credible Exit Strategy," Book Chapters, in: John D. Ciorciari & John Taylor (ed.), The Road Ahead for the Fed, chapter 6, Hoover Institution, Stanford University.
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    Cited by:

    1. Mike Aguilar & Daniel Soques, 2015. "Bridging the Classroom Gap between Asset Pricing and Business Cycle Theory," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 21(4), pages 433-452, November.
    2. Giovanni B. Pittaluga, 2016. "L?aumento dei requisiti di capitale minimo delle banche: alcune considerazioni," ECONOMIA E DIRITTO DEL TERZIARIO, FrancoAngeli Editore, vol. 2016(3), pages 409-422.
    3. Gabriela Przeslawska, 2016. "Rethinking economics in response to current crisis phenomena," Ekonomia i Prawo, Uniwersytet Mikolaja Kopernika, vol. 15(1), pages 133-146, March.
    4. Kasztelnik Karina, 2020. "Innovative Empirical Model for Predicting National Banks’ Financial Failure with Artificial Intelligence Subset Data Analysis in the United States," Open Economics, De Gruyter, vol. 3(1), pages 98-111, January.

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    More about this item

    Keywords

    recession;

    JEL classification:

    • A11 - General Economics and Teaching - - General Economics - - - Role of Economics; Role of Economists
    • A22 - General Economics and Teaching - - Economic Education and Teaching of Economics - - - Undergraduate
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • E43 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Interest Rates: Determination, Term Structure, and Effects
    • E44 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Financial Markets and the Macroeconomy
    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy

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