The Financial Crisis 2007-08 and Causality: A Hicksian Perspective
Eduardo Fernandez-Pol ()
Additional contact information
Eduardo Fernandez-Pol: University of Wollongong
Economics Working Papers from School of Economics, University of Wollongong, NSW, Australia
Almost everyone agrees on two general features displayed by the recent banking crisis, namely: the crisis was stupefyingly complex and the financial system was devoured by its own creations. Beyond these points of agreement, there are many questions that will be debated by academics and policymakers for decades. One of the outstanding questions is what caused the financial crisis 2007-08. To shed light on this question, the paper compiles a list of the tentative causes of the recent financial crisis, discusses their separability and attempts an appraisal of the separable causes using the Hicksian methodology for causality analysis. Specifically, this paper identifies three major separable causes of the recent banking crisis and brings into sharp focus the far-from-trivial requirements that are necessary in order to demonstrate that a particular set of events can indeed be the preponderant causes of the severe banking crisis 2007-08.
Keywords: Financial crisis 2007-08; causality analysis; Hicksian methodology; separable causes (search for similar items in EconPapers)
JEL-codes: B41 G10 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-ban, nep-fmk and nep-pke
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed
Downloads: (external link)
http://www.uow.edu.au/content/groups/public/@web/@ ... ts/doc/uow075932.pdf (application/pdf)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:uow:depec1:wp10-03
Access Statistics for this paper
More papers in Economics Working Papers from School of Economics, University of Wollongong, NSW, Australia School of Economics, University of Wollongong, Northfields Avenue, Wollongong NSW 2522 Australia. Contact information at EDIRC.
Series data maintained by Peter Siminski ().