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Inequality and the financial instability hypothesis

In: Aggregate Demand, Inequality and Instability

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Abstract

This chapter applies Cynamon and Fazzari’s interpretation of the Great Recession, based upon Minsky’s financial instability hypothesis, to a dynamic context. It shows how the process of inequality has been fostered by the debt policy and how this process has worsened the instability process. The feedbacks on inequality are also taken into account.

Suggested Citation

  • ., 2016. "Inequality and the financial instability hypothesis," Chapters, in: Aggregate Demand, Inequality and Instability, chapter 11, pages 115-128, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:17444_11
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    Keywords

    Economics and Finance;

    Statistics

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