Working papers:
Central Banks, Liquidity and the Banking Crisis
Philip Turner
Downloads:
- Title:
- Central Banks, Liquidity and the Banking Crisis
- Author(s):
- Turner, Philip
- Date:
- 2009
- Type:
- Working papers
- Department:
- Initiative for Policy Dialogue
- Permanent URL:
- http://hdl.handle.net/10022/AC:P:10159
- Series:
- Initiative for Policy Dialogue Working Paper Series
- Publisher:
- Initiative for Policy Dialogue
- Publisher Location:
- New York
- Abstract:
- Of the maxims of orthodox finance none, surely, is more anti-social than the fetish of liquidity, the doctrine that it is a positive virtue on the part of investment institutions to concentrate their resources upon the holding of 'liquid' securities. It forgets that there is no such thing as liquidity of investment for the community as a whole … Capital markets provide liquidity to make investments which are 'fixed' for the community more 'liquid' for the individual.
- Subject(s):
- Finance
- Item views:
- 227