Modern Finance Is Efficient. It's Also Remarkably Vulnerable

Modern Finance Is Efficient. It's Also Remarkably Vulnerable

How to predict financial crises, and how to prevent them? Photo/Credit: courtneyk/iStockphoto Imagine you’re a doctor, but your patient isn’t a person; it’s the global economy. You begin to notice concerning signs: laboured breathing in the credit markets, irregular pulses in interest rates, a touch of fever in inflation indicators. The symptoms don’t always signal an imminent crisis, but sometimes, they point to something much worse than a…