The end of alchemy Money, banking and the future of the global economy

King (former governor, Bank of England; Alan Greenspan Professor of Economics, New York Univ.) provides a terrific analysis of what went wrong in the global financial system and with economics in general. Readers are shown why almost every industrialized country found it difficult to overcome stagnation following the financial crisis of 2007-08. The central idea here is that money and banking are historical institutions developed before modern capitalism and owe a great deal to the technology of earlier times. The author accepts blame for the poor policy during his tenure at the Bank of England and proposes changes to the banking system. The basic notion is that all banks should have sufficient access to cash to meet the demands of depositors and others supplying short-term unsecured debt and examine the liabilities side of a bank's balance sheet-its total demand deposits and short-term unsecured debt (up to one year), which could run out at short notice. Patrons desiring further readings might consult Alan S. Blinder's After the Music Stopped. Verdict One of finest titles published on the 2007-08 financial crisis, this book deserves wide dissemination among all collections in business and economic history. It should be of interest to general readers and scholars. [See Prepub Alert, 9/28/15.]-Claude Ury, San Francisco © Copyright 2016. Library Journals LLC, a wholly owned subsidiary of Media Source, Inc. No redistribution permitted.