Financial Instability
Beginning of paper
The soaring volume of international finance and increased
interdependence in recent decades has increased concerns about volatility and
threats of a financial crisis. This has led many to investigate and analyze the
origins, transmission, effects and policies aimed to impede financial
instability. ....
Middle of paper
.... deals with speculation and the
subsequent “bandwagoning” in financial markets. The second is a political
interpretation dealing with the declining status of a hegemonic anchor of the
financial system. The question of whether regulation causes or mitigates
financial instability is raised by the third interpretation; while the fourth
view deals with the “trigger point” phenomena.
To fully comprehend these interpretations we must first understand and
differentiate between a “cur ....
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Word count: 3508
Page count: 13 (approximately 250 words per page)
