Lessons from Northern Rock: Banking and shadow banking

Willem Buiter 04 March 2008

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Two highly readable reports on the lessons learnt from the Northern Rock debacle have been published recently. The first is the Treasury Committee Report The Run on the Rock published on January 26.

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Topics:  Financial markets

Tags:  securitization, liquidity, financial stability, Northern Rock, bank failure

Subprime 'crisis': observations on the emerging debate

Charles Wyplosz 16 August 2007

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As financial anxiety keeps mounting worldwide, comments flourish and joyfully contradict each other. Central banks are bailing out dangerous gamblers, says one. They are skillfully preventing a 1929-style crash, says another one. Things are being gradually normalized, some assert. This is just the beginning of a vicious circle of unforeseen meltdown, just wait, warn others.

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Topics:  Financial markets

Tags:  subprime crisis, mortgages, securitization