Book Review: This Time Is Different by Carmen Reinhart and Kenneth Rogoff

Views: 237 Financial crises arrive with a familiar script. Asset prices soar. Credit expands. Skeptics are dismissed as relics of a bygone era. Policymakers assure the public that structural reforms, new technologies, or enlightened monetary management have banished the ghosts of past collapses. Then, with unsettling regularity, confidence evaporates, leverage turns toxic, and economies contract. The title of Carmen Reinhart and Kenneth Rogoff’s sweeping study captures this cycle with clinical precision. The four most dangerous words in finance are, as they argue, “this time is different.” Published in the shadow of the global financial crisis of 2008, the book is …

Book Review: This Time Is Different by Carmen Reinhart and Kenneth RogoffRead More »