Financial Whirlpools, 1st Edition

  • Published By:
  • ISBN-10: 012405921X
  • ISBN-13: 9780124059214
  • DDC: 330.90511
  • Grade Level Range: College Freshman - College Senior
  • 400 Pages | eBook
  • Original Copyright 2013 | Published/Released May 2014
  • This publication's content originally published in print form: 2013

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How do economists reconcile their expertise with their failures to predict and manage the 2008 financial crisis? This book goes a long way toward an answer by using systems theory to reveal the complex interdependence of factors and forces behind the crisis. In her fully integrated view of the economy, how it works, and how the economic crisis burst, Karen Higgins combines human psychology, cultural values, and belief formation with descriptions of the ways banks and markets succeed and fail. In each chapter she introduces themes from financial crisis literature and brings a systems-theory treatment of them. Her methodology and visual presentations both develop the tools of systems theory and apply these tools to the financial crisis. Not just another volume about the crisis, this book challenges the status quo through its unique multidisciplinary approach.

Table of Contents

Front Cover.
Half Title Page.
Title Page.
Copyright Page.
List of Figures and Tables.
1: Biography.
Introduction: Systems Thinking and the Great Global Recession.
2: Foundations.
3: Lines or Circles: The Basics of Systems Thinking.
4: As the Gears Turn: Policies, Practices, Markets, and Risk.
5: The Yin: Human Behaviors.
6: Where Can I Buy One? Humans and the Economy.
7: Who are You Anyway? Values, Beliefs, Norms, and Behaviors.
8: Visions of Grandeur: Expectations and Behaviors.
9: A Crisis of Human Proportions: Ethics and Behaviors.
10: Self Speaks Loudly and Carries a Big Stick: Sources of Unethical Behavior.
11: The Yang: Economic Mechanisms.
12: What Goes Up must Come Down: The Housing Bubble.
13: On Top of Debt Mountain: High-Risk Loans and Credit.
14: The Risk Tiger Pounces: Financial Market, Risk, and Securitization.
15: Yin and Yang: Integration.
16: Human Roots are Deep: Yin Meets Yang.
17: It’s a Small World After All: Global Implications and the Road Ahead.