Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/54323
Authors: 
Arestis, Philip
Karakitsos, Elias
Year of Publication: 
2003
Series/Report no.: 
Public policy brief // Jerome Levy Economics Institute of Bard College 73
Abstract: 
In an asset and debt deflation, the process of reducing debt by saving and curtailing spending takes a long time, say authors Philip Arestis and Elias Karakitsos. Current imbalances and poor prospects for spending in the private sector affect the balance sheets of the commercial banks. The downward spiral between the banks and the private sector induces a credit crunch that adversely affects the US economy, which is vulnerable to exogenous shocks and lacks the foundations for a new, long-lasting business cycle.
ISBN: 
1931493219
Document Type: 
Research Report

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