The New Financial Order: Risk in the 21st Century
| Author | : | |
| Rating | : | 4.40 (617 Votes) |
| Asin | : | 0691120110 |
| Format Type | : | paperback |
| Number of Pages | : | 384 Pages |
| Publish Date | : | 2016-05-30 |
| Language | : | English |
DESCRIPTION:
Good. Interesting proposals,clearly presented and argued. The book arrived in good condtions and in due time as promised by the seller. The author, a recent economics Nobel laureate, lays the ground, with well-articulated though occasionally controversial arguments, in favor of both a far wider and broader scope and reach of present insurance markets, to cover risks that as of today fall mostly outside traditional insurance boundaries. To quote from the author's introductory remarks . 1000Books said Worth a read, though not quite as inspiring as his other works. Relative to Irrational Exuberance, which received much acclaim, The New Financial Order was not given the same sort of thumbs up. I'm a bit biased having seen him speak and thinking that many of his ways of looking at the world are quite unique. A huge fan of Shiller, I was taken aback to find that the reviews of the book were very mixed. Of course i had to read it and have my own say.Shiller's book which proposes a "New Finan. Controlling Risk - A New Matrix dennis wentraub The NEW FINANCIAL ORDER outlines an ambitious plan for reworking the ways we control financial risk. Shiller "democratizes" the subject of risk by addressing, among other things, the vulnerability of "ordinary riches" like the value of our homes and our choice-of-career incomes. These risks are various, unpredictable, and unevenly distributed through time and geography. That unevenness (unfairness, Shiller might say) means the
These lie in the hidden potential of real assets, such as income from our livelihoods and homes. Informed by a comprehensive risk information database, this new financial order would include global markets for trading risks and exploiting myriad new financial opportunities, from inequality insurance to intergenerational social security. But these ''ordinary riches,'' so fundamental to our well-being, are increasingly exposed to the pervasive risks of a rapidly changing global economy. In his best-selling Irrational Exuberance, Robert Shiller cautioned that society's obsession with the stock market was fueling the volatility that has since made a roller coaster of the financial system. This compelling and important new book presents a fresh vision for hedging risk and securing our economic future.Shiller describes six fundamental ideas for using modern information technology and advanced financial theory to temper basic risks that have been ignored by risk management institutions--risks to the value of our jobs and our homes, to the vitality of our communities, and to the very stability of national economies. And once again, what Robert Shiller says should
The author admits people don't think they want this additional security, but he advocates "psychological framing" to change their viewpoint. Money, he says, will be replaced by "indexed units of account" tied to things like wage rates and commodity prices. In this way, the government can eliminate the underground economy and tax evasion and individuals will enjoy more economic security. Individuals should manage risk by trading in new financial instruments based on the lifetime income of their profession, the value of homes in their area or economic statistics like the unemployment rate or inflation rate. Copyright 2003 Reed Business Information, Inc. From Publishers Weekly Shiller is best known for arguing, as he did in Irrational Exuberance, that stock market movements do not reflect underlying economic reality and that the volatili