Interest Rates and Economic Crises - Edward Chancellor, Financial Historian, DS Pod #224

Get your DEMYSTICON 2024 tickets here: https://www.eventbrite.com/e/demysticon-2024-tickets-727054969987 Edward Chancellor is a British financial historian who, in a previous life, was an investment banker in New York and Boston from the early 1990s through 2014. He has been named as “one of the greatest financial historians alive” by Fortune magazine, as a result of his prediction of the last two economic bubbles, detailed in his books Devil Take Hindmost, about financial speculation during the dot com bubble and Crunch Time for Credit, about the 2005 housing bubble. He’s attempting the hat trick of economic doomsaying with his most recent book, The Price of Time, all about the true role of interest rates in economic crashes. He argues that abnormally low interest rates coupled to a policy of perpetual quantitative easing has led to an “everything bubble” where all assets, everywhere, are tremendously overvalued. We talk about how he came up with this theory, the poorly understood role of interest, what can be learned from economic collapses of hundreds of years ago, and how theory doesn’t always line up with reality. Buy Edward Chancellor's Books, Support the Podcast: https://amzn.to/4bBmG2O Tell us what you think in the comments or on our Discord: https://discord.gg/MJzKT8CQub Sign up for a yearly Patreon membership for discounted conference tickets: https://bit.ly/3lcAasB (00:00) Go! (00:03:59) Economics has no laboratory (00:16:13) Forgetting history (00:38:10) Malincentives at the Fed (00:53:23) Too big to fail? Autonomous financial algos (01:00:43) Monastic/social biphasic life (01:05:48) At the edge of whats known (01:16:39) External pressure to regulate the economy (01:29:48) The real role of interest (01:38:55) Michael Hudson's theory on taxing unearned income (01:52:26) Modern monopolies (02:06:10) Predicting the next speculative bubble (02:12:46) Bullshit jobs (02:21:45) Takeaways #financialhistory #investmentbanking #economicbubbles #speculation #EdwardChancellor #interestrates #quantitativeeasing #everythingbubble #economiccrashes #financialspeculation #economics #economictheory #marketcrashes #financialregulation #economiccollapse Check our short-films channel, @DemystifySci: https://www.youtube.com/c/DemystifyingScience AND our material science investigations of atomics, @MaterialAtomics https://www.youtube.com/@MaterialAtomics Join our mailing list https://bit.ly/3v3kz2S PODCAST INFO: Anastasia completed her PhD studying bioelectricity at Columbia University. When not talking to brilliant people or making movies, she spends her time painting, reading, and guiding backcountry excursions. Shilo also did his PhD at Columbia studying the elastic properties of molecular water. When he's not in the film studio, he's exploring sound in music. They are both freelance professors at various universities. - Blog: http://DemystifySci.com/blog - RSS: https://anchor.fm/s/2be66934/podcast/rss - Donate: https://bit.ly/3wkPqaD - Swag: https://bit.ly/2PXdC2y SOCIAL: - Discord: https://discord.gg/MJzKT8CQub - Facebook: https://www.facebook.com/groups/DemystifySci - Instagram: https://www.instagram.com/DemystifySci/ - Twitter: https://twitter.com/DemystifySci MUSIC: -Shilo Delay: https://g.co/kgs/oty671