Season 7 - Episode 1 - Hyman P. Minsky

Economics In Ten

At the height of the financial crisis in 2008, the late Queen Elizabeth II asked economists at the London School of Economics the obvious question "why did nobody notice it?". Doubtless there was much muttering and shuffling of feet at that point but there was at least one economist who had predicted what would happen (albeit some years earlier), namely Hyman P. Minsky. Before the Credit Crunch Minsky had been largely ignored by mainstream economists but now was his "Minsky Moment". His slogan that "stability created instability" was now taken up with some enthusiasm; his recommendation that it was essential that governments tightly regulated financial markets perhaps less so. In this first episode of Season Seven, your friendly neighbourhood economists, Pete and Gav explore Minksy’s life and ideas and explain what a ‘Minsky Moment’ is. Along the way you will consider whether you are a fox or a hedgehog, reflect on which parent had more influence on your social or political ideas and take part in a quiz which will establish your knowledge of financial innovations. Technical support as always comes from Nic The Ledge!