Saturday, September 25

The Financial Crisis and the Free Market Cure

A new book I’m looking forward to reading is The Financial Crisis and the Free Market Cure: Why Pure Capitalism is the World Economy’s Only Hope. The author is John A. Allison, who is the new president of the Cato Institute.

A press release from Cato contains: “Allison believes that destructive economic policies are being made now based on a misidentification of the causes of the financial crisis and recession. In the book, he describes how government incentives helped blow up the real estate bubble to unsustainable proportions, how financial tools such as derivatives have been wrongly blamed for the crash, and how Congress completely misunderstands — and completely mismanages — control over financial institutions.”

Allison was in Wichita in 2009. My reporting on his appearances is at Causes of global finance crisis explained in Wichita and John A. Allison: The current problem, and what to do.

An interview with Allison is below.