Public Policy Brief Highlight
09 April 2008
Financial Markets Meltdown
What Can We Learn from Minsky?
According to Senior Scholar L. Randall Wray, the current crisis in financial
markets can be traced back to securitization (the “originate and distribute” model),
leverage, the demise of relationship-based banking, and a dizzying array of extremely
complex instruments that—quite literally—only a handful understand.