With alarming frequency modern economies go through macro-financial crashes that arise from
the financial sector and spread to the broader economy inflicting deep and prolonged
recessions. A Crash Course on Crises brings together the latest cutting-edge economic research
to identify the seeds of these crashes reveal their triggers and consequences and explain
what policymakers can do about them. Each of the book's ten self-contained chapters introduces
readers to a key economic force and provides case studies that illustrate how that force was
dominant. Markus Brunnermeier and Ricardo Reis show how the run-up phase of a crisis often
occurs in ways that are preventable but that may go unnoticed and discuss how debt contracts
banks and a search for safety can act as triggers and amplifiers that drive the economy to
crash. Brunnermeier and Reis then explain how monetary fiscal and exchange-rate policies can
respond to crises and prevent them from becoming persistent. With case studies ranging from
Chile in the 1970s to the COVID-19 pandemic A Crash Course on Crises synthesizes a vast
literature into ten simple accessible ideas and illuminates these concepts using novel
diagrams and a clear analytical framework.--Amazon.com
