Discuss the role performed by uncertainty

Reference no: EM132207451

Question: 1. Discuss some of the causes of the recent global financial crisis in 2007-08. To what extent, if any, can this event be described as a ‘Minsky moment'?

2. Analyse Keynes's theory of liquidity preferences. In your answer, discuss the role performed by uncertainty in the formation of liquidity preferences. How does this relate to the problem of involuntary unemployment?

Reference no: EM132207451

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