Manias, Panics, and Crashes: A History of Financial Crises 8th ed. 2023 Edition

Complete, interesting, informative.History does not repeat but it rymes.May God help us be ready for the next big crisis.As of November 2024, the wise Warren Buffett is full of cash. Wise indeed.

Interesting take on China's property market and the role of the fed in the early 21st century. Worth reading the latest version.

Don't buy this unless you are very steeped in finance and macroeconomics. This is for insiders. You can be fairly knowledgeable in these areas yet most of this will sail over your head. If you're looking for theory and general principles this isn't the book. This is highly detailed, a virtual encyclopedia.

waste of money

This book is a theoretical, historical and practical take on Minsky's model of financial crisis and instability. It starts by logically explaining in a simple manner cyles of A) mania, euphoria and speculation linked to credit expansion, falling into, once the first insiders start to sell and profit big B) a stamped of folks trying to cash out, panic that will eventually lead to a big crash/bubble burst. The authors explain that this happens because more often than not when people buy anything with hopes of getting a profit, from dutch tulips in the past to modern foreign imports, they do so on the basis of recent increases in prices and anticipating that such prices will continue to increase as more people join the frenzy. This is contrarian to Prudent/value investors who invest based on the estimates of the earning power of the asset. If all were prudent then behavior would be less prone to feed the manias. These spiraling prices eventually come down and burst suddenly in timings not easy to predict. However, the book's helpful many historical and data driven reports of such financial cycles equip you to understand at least better than average whether you find yourself in such a cycle and in which part. For example, when buying a house or a stock. The writing style of the book is a bit tedious but the book chapters are well and logically organized: first describing the Minsky model, then the mania part and implications, subsequently moving to crisis and implications. Plus, specifical historical situations and examples all the way to bitcoin and fed recent examples where the whole cycle is described in that situation. What is interesting and most telling of it all as a predictive model/tool is that the book was published just a bit (weeks) before the Sillicon Valley Bank collapse. Nevertheless, the SVB example could fit into many of the book's paragraph about what happens in such banking collapses. Nothing new under the sun except for those who dont read or know history and hence repeat its mistakes.