Economics 470 - Monetary Theory and Policy - Fall 2008 - Lecture 2

[TheFlipdoggydog]

have you done a lecture on the "Real Business Cycle" or the "Rational Expectations Model"?

[joshb6206]

Bingo on the erroneous AAA ratings.

Diversifying risk beyond individual financial intermediaries through securities and secondary markets lead to an increase in total risk. Ultimately our trusted financial intermediaries lent to consumer spending (McMansions, plasma screens, granite counter tops, and big SUVs) as opposed to investing in productive capacity. I say we need some more prudent intermediaries to trust our money with.

[sinister60804]

great techer fantastic, I would love to attend a summer class.