Paul Krugman
The economic panics of the twenty-first century are not unforeseen anomalies, but recurring features of a global system made fragile by shadow banking, speculative excess, and policy failures.
Financial entities that perform banking functions without traditional safeguards can make modern crises far more dangerous.
Economies can fall into liquidity traps where very low interest rates fail to restore growth, making stronger public action necessary to revive demand.
The efficient-market hypothesis is treated skeptically because financial markets can misprice risk and fuel speculative bubbles.