<strong>“If [<em>The End of Alchemy</em>] gets the attention it deserves, it might just save the world.” ―Michael Lewis, <em>Bloomberg View</em></strong>
Something is wrong with our banking system. We all sense that, but Mervyn King knows it firsthand; his ten years at the helm of the Bank of England, including at the height of the financial crisis, revealed profound truths about the mechanisms of our capitalist society. In <em>The End of Alchemy</em> he offers us an essential work about the history and future of money and banking, the keys to modern finance.
The Industrial Revolution built the foundation of our modern capitalist age. Yet the flowering of technological innovations during that dynamic period relied on the widespread adoption of two much older ideas: the creation of paper money and the invention of banks that issued credit. We take these systems for granted today, yet at their core both ideas were revolutionary and almost magical. Common paper became as precious as gold, and risky long-term loans were transformed into safe short-term bank deposits. As King argues, this is financial alchemy―the creation of extraordinary financial powers that defy reality and common sense. Faith in these powers has led to huge benefits; the liquidity they create has fueled economic growth for two centuries now. However, they have also produced an unending string of economic disasters, from hyperinflations to banking collapses to the recent global recession and current stagnation.
How do we reconcile the potent strengths of these ideas with their inherent weaknesses? King draws on his unique experience to present fresh interpretations of these economic forces and to point the way forward for the global economy. His bold solutions cut through current overstuffed and needlessly complex legislation to provide a clear path to durable prosperity and the end of overreliance on the alchemy of our financial ancestors.
Details: rank: #34,434 price: $10.99 bound: 464 pages publisher: W. W. Norton & Company; 1 edition (March 7, 2017) lang: English asin: isbn: 0393353575, 978-0393353570, weight: 12 ounces ( filesize:
The End of Alchemy: Money, Banking, and the Future of the Global Economy book docs
06.27.17- The Fed Speaks Out of Both Sides of Its Mouth Dennis Slothower A number of Federal Reserve policymakers were marched out this week to give opinions about monetary policies following the most recent action of the FedThe mind bogglesRead More The person then returns and deposits the money with the same bank, with the resulting balance sheet looking like this: Assets: Cash-$1,000 (leftover $150 from out-of-country deposit after loan was made plus $850 deposited by same individual), Loans-$850 (made to individual) TOTAL ASSETS: $1,850 Liabilities Deposits-$1,850 ($1,000 out-of-country deposit plus $850 deposit from person who obtained the loan) However, no new money (cash) has been createdand, by extension, the dollarRetrieved 2010-01-21.[dead link] ^ "Federal Reserve Board: Monetary Policy and Open Market Operations"Eccles, who was appointed chairman of the Federal Reserve by FDR and held that position until 1948, excessive debt levels were not a source cause of the Great Depression
Cambridge University PressIt’s a matter of considering what we know, and what we don’t know, and observing the indications and warnings that presage the unknownFood prices edged up 0.1%The results imply that oil prices were entirely responsible for the recession. Hamilton acknowledged that this was probably not the entire cause but maintained that it showed that oil price increases made a significant contribution to the downturn in economic growth.It concluded that "the crisis was avoidable and was caused by: Widespread failures in financial regulation, including the Federal Reserves failure to stem the tide of toxic mortgages; Dramatic breakdowns in corporate governance including too many financial firms acting recklessly and taking on too much risk; An explosive mix of excessive borrowing and risk by households and Wall Street that put the financial system on a collision course with crisis; Key policy makers ill prepared for the crisis, lacking a full understanding of the financial system they oversaw; and systemic breaches in accountability and ethics at all levels."&.but it is not taught in Unis it appears (to the changrin of the odd leading Banker & Statesmen & some of those men spoke out & some became no more) &&so we have a certain mind set&.bit like children brought up to believe their parents religious beliefs are the only way
Islamic Banking in Pakistan: Shariah-Compliant Finance and the Quest to Make Pakistan More IslamicThe propensity for bubbles to form will be magnified as yield-hungry investors race to pour capital into assets that show the potential to generate superior returnsThis is apparent through the history of Banking & appears to more so since 1694Profits generated are shared between the parties according to a pre-agreed ratioRead More In Goethes classic play, Faust, the title character and his teacher, Mephistopheles (the Devil), gain the favor of the emperor by offering him the secret of alchemy: how to create wealth by printing paper moneyI could go through example after example but would now require a book &or more likely a series of booksTreasurer Mary Ellen Withrow explicitly stated in a interview with New Yorker Magazine that this is why the color green is used 07f867cfac