How Markets Fail - John Cassidy书.pdf

HOW MARKETS FAIL THE LOGIC OF ECONOMIC CALAMITIES JOHN CASSIDY FARRAR, STRAUS AND GIROUX • NEW YORK To Lucinda, Beatrice, and Cornelia CONTENTS Also by th Author Copyright D dication Introduction PART ONE: UTOPIAN ECONOMICS 1. Warnings Ignor d and th Conv ntional Wisdom 2. Adam Smith’s Invisibl Hand 3. Fri drich Hay k’s T l communications Syst m 4. Th P rf ct Mark ts of Lausann 5. Th Math matics of Bliss 6. Th Evang list 7. Th Coin-Tossing Vi w of Financ 8. Th Triumph of Utopian Economics PART TWO: REALITY-BASED ECONOMICS 9. Th Prof and th Polar B ars 10. A Taxonomy of Failur 11. Th Prison r ’s Dil mma and Rational Irrationality 12. Hidd n Information and th Mark t for L mons 13. K yn s’s B auty Cont st 14. Th Rational H rd 15. Psychology R turns to Economics 16. Hyman Minsky and Ponzi Financ PART THREE: THE GREAT CRUNCH 17. Gr nspan Shrugs 18. Th Lur of R al Estat 19. Th Subprim Chain 20. In th Alphab t Soup 2 1. A Matt r of Inc ntiv s 22. London Bridg Is Falling Down 23. Socialism in Our Tim Conclusion Not s Acknowl dgm nts Ind x INTRODUCTION “I am shocked, shocked, to f ind that gambling is going on in here!” — Claude Rains as Cap tain Renault in Casablanca Th old man look d drawn and gray. During th almost two d cad s h had