Inside shadow banking: understanding the doomsday machine

Wesley C. Marshall
Additional contact information
Wesley C. Marshall: Universidad Autonoma de Metropolitana - Iztapalpa, Mexico

European Journal of Economics and Economic Policies: Intervention, 2014, vol. 11, issue 3, 315-332

Abstract: This article will argue that the shadow banking system has been at the heart of the Great Crisis since its first manifestations in the summer of 2007. This system has been purposefully misunderstood, as it is essentially a complex machine of too-big-to-fail banks designed to make large private profits while creating infinitely larger amounts of public debt. Years into the crisis, the shadow banking system still presents the greatest threat to global financial stability. As the fundamental operational conditions of this system gradually become clearer, and the understanding of the risks greater, a proper understanding of shadow banking is essential if the enormous problems of this doomsday machine are to be resolved.

Keywords: shadow banking; financial crises; investment banking; international financial markets (search for similar items in EconPapers)
JEL-codes: G01 G15 G24 (search for similar items in EconPapers)
Date: 2014
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.elgaronline.com/abstract/journals/ejeep/11-3/ejeep.2014.03.06.xml (application/pdf)
Restricted access

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:elg:ejeepi:v:11:y:2014:i:3:p315-332

Access Statistics for this article

European Journal of Economics and Economic Policies: Intervention is currently edited by Torsten Niechoj

More articles in European Journal of Economics and Economic Policies: Intervention from Edward Elgar Publishing
Bibliographic data for series maintained by Phillip Thompson ().