Securitization and the subprime mortgage crisis

Cristina Peicuti

Journal of Post Keynesian Economics, 2013, vol. 35, issue 3, 443-456

Abstract: Since the outbreak of the subprime mortgage crisis, the benefits of securitization have started to be questioned. Originally, securitization was meant to improve the efficiency of capital markets by reducing risks through risk tiering and geographic diversification. It has also been considered to have contributed to a reduction in transaction costs and greater flexibility in financial operations. As it turns out, it seems to have played a major role in fueling the dynamics of the subprime mortgage crisis. This article aims at defining the role of securitization in the subprime mortgage crisis and, more broadly, in the current financial system.

Date: 2013
References: Add references at CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
http://hdl.handle.net/10.2753/PKE0160-3477350306 (text/html)
Access to full text is restricted to subscribers.

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:mes:postke:v:35:y:2013:i:3:p:443-456

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/MPKE20

DOI: 10.2753/PKE0160-3477350306

Access Statistics for this article

More articles in Journal of Post Keynesian Economics from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().