Cover image for The return of depression economics
The return of depression economics
Krugman, Paul R.
Personal Author:
Publication Information:
New York : W.W. Norton, 1999.
Physical Description:
xiv, 176 pages ; 22 cm
General Note:
Includes index.
Format :


Call Number
Material Type
Home Location
Central Library HB3716 .K76 1999 Adult Non-Fiction Central Closed Stacks

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"Surely the Great Depression could not happen again; our economists and policy makers simply have too many tools in their kit and too much experience applying them. Or could it? Paul Krugman gives us a sobering tour of the global economic crises of the last two years." "In the 1930s policy makers realized that they had to limit the free market in order to save it. Today, when governments worldwide have spent decades lifting regulatory restraints on trade within and across their borders, interference in markets is completely out of favor as a policy tool. With his usual creativity and willingness to consider new ideas, Krugman suggests that a variety of capital restraints may well be in order." "This book is for anyone with any level of economic background who wishes to understand the stunning events in today's global economy."--BOOK JACKET.Title Summary field provided by Blackwell North America, Inc. All Rights Reserved

Author Notes

Paul Krugman was born on February 28, 1953. He received a B.S. in economics from Yale University in 1974 and a Ph.D from MIT in 1977. From 1982 to 1983, he worked at the Reagan White House as a member of the Council of Economic Advisers. He taught at numerous universities including Yale University, MIT, UC Berkeley, the London School of Economics, and Stanford University before becoming a professor of economics and international affairs at Princeton University in 2000. He has written over 200 scholarly papers and 20 books including Peddling Prosperity; International Economics: Theory and Policy; The Great Unraveling; and The Conscience of a Liberal. Since 2000, he has written a twice-weekly column for The New York Times. He received the 1991 John Bates Clark Medal and the 2008 Nobel Memorial Prize in Economic Sciences. His title End This Depression Now! made The New York Times Best Seller List for 2012.

(Bowker Author Biography)

Reviews 3

Publisher's Weekly Review

As an economist in good standing, writes MIT economist Krugman, I am quite capable of writing things that nobody can read. Fortunately, Krugman, author of Slates Dismal Science column, is also quite capable of writing things that almost anyone can read. An accomplished translator of economics into English, Krugman (Peddling Prosperity; The Accidental Theorist; etc.) takes a look at the international financial turmoil of the past two years and concludes that, confident assertions of happy globalizers and bullish day traders notwithstanding, a great depression could happen again. Depression economics is back, he argues, meaning that for the first time in two generations, failures on the demand side of the economy... have become the clear and present limitation on prosperity for a large part of the world. Whether discussing the currency collapse in Indonesia, the travails of Brazil and Russia (and how theyre related) or the failure of hedge funds such as Long Term Capital Management, Krugman writes with invigorating lucidity and forceful opinion. Now as in the 1930s, however, one cannot defend globalization merely by repeating free-market mantras, even as economy after economy crashes. If his message is dire, his tone is light, almost jaunty as he calls supply-side economics a crank doctrine and ably articulates a Keynsian willingness to regulate markets in order to stabilize economies and minimize human suffering. Moving from concrete examples (e.g., the struggles of a Japanese baby-sitting coop) to stinging critiques of head-in-the-sand theorists, Krugman proves himself not only comprehensible but also well worth comprehending. (May) (c) Copyright PWxyz, LLC. All rights reserved

Library Journal Review

Krugman (economics, M.I.T.) addresses the question, "Could the world-wide depression of the 1930s happen now?" In this short book, rushed to publication (and showing signs of hasty writing), Krugman analyzes the financial and economic situations of countries that have been experiencing difficulties in the last few years, such as Russia, Japan, six southeastern countries, and Brazil and concludes that while they are in an economic slump, this is not a return to the 1930s. What is to be done? For advanced economies, such as Japan's, he advocates a radical expansion of the money supply as an economic stimulus. In developing countries, such as Brazil, he believes that the economic medicine needed is devaluation of the currencies and even currency controls. These very complicated situations, however, do not necessarily lend themselves to such one-shot solutions. An optional purchase.ÄHarry Frumerman, formerly with Hunter Coll., New York (c) Copyright 2010. Library Journals LLC, a wholly owned subsidiary of Media Source, Inc. No redistribution permitted.

Choice Review

A new book by Paul Krugman (MIT) is a cause for celebration, and this is indeed a book, not a collection of previously published articles as were Pop Internationalism (1996) and Accidental Theorist (1998). Although the title of the volume is the same as that of a recent essay in Foreign Affairs, the scope of the book is much broader. The Return of Depression Economics captures the essence of the contemporary economic problem in the same way that the much celebrated The Age of Diminished Expectations (CH, Jan'91) did a decade ago. At the center of this book is a clear and enlightening analysis of the Asian economic crisis that alone justifies its purchase. Wrapped around this core are discussions of Asia before the crisis, Japan, and Latin America. People will read this book to understand the Asian crisis, but this reviewer thinks Krugman really wrote it (in his usual highly readable style) to teach the lesson that economics must be constantly rethought, not just remembered; economics becomes useless for solving problems when it is reduced to dogma. This is a wonderful book, highly recommended for readers in all fields and at all collegiate levels. M. Veseth; University of Puget Sound

Table of Contents

Introductionp. vii
1 July 1, 1997p. 1
2 A Short Course in Miracles: Asia before the Crisisp. 21
3 Warning Ignored: Latin America, 1995p. 38
4 The Future That Didn't Work: Japan in the 1990sp. 60
5 All Fall Down: Asia's Crashp. 83
6 The Confidence Gamep. 102
7 Masters of the Universe: Hedge Funds and Other Villainsp. 118
8 Bottoming Out?p. 137
9 The Return of Depression Economicsp. 154
Indexp. 169

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