Quotessence
Home / Authors / Hyman Minsky
Hyman Minsky

Hyman Minsky Quotes

Economist

Filter quotes by topic

AllEconomyFinancialActivityAuthorityConstrainDisruptiveFinancial InstitutionsFringeIfsInstability

Famous Hyman Minsky Quotes

“Unless we understand what it is that leads to economic and financial instability, we cannot prescribe -- make policy -- to modify or eliminate it. Identifying a phenomenon is not enough; we need a theory that makes instability a normal result in our economy and gives us handles to control it.”

NeedsGivingEnoughResultsEconomyEconomicPolicyTheoryNormalFinancialHandlePhenomenonIdentifyingInstability
Book:Stabilizing an Unstable Economy, Part 3 - Economic Theory
Create image

“In a world of businessmen and financial intermediaries who aggressively seek profit, innovators will always outpace regulators; the authorities cannot prevent changes in the structure of portfolios from occurring. What they can do is keep the asset-equity ratio of banks within bounds by setting equity-absorption ratios for various types of assets. If the authorities constrain banks and are aware of the activities of fringe banks and other financial institutions, they are in a better position to attenuate the disruptive expansionary tendencies of our economy.”

IfsWorldCan DoEconomyPositionTypeActivityAuthorityInstitutionsStructureBoundsFinancialProfitVariousSettingTendenciesSettingsAssetsBusinessmanEquityFringeInnovatorsRatiosDisruptivePortfoliosAbsorptionRegulatorsConstrainFinancial Institutions
Author:Hyman Minsky
Create image