Banking crises
| Reading: Diamond, D.W., and Dybvig, P.H., 1983, “Bank Runs, Deposit Insurance, and Liquidity”, Journal of Political Economy, 91(3):401-419 |
| Lecture handout: Banking crises* |
Textbook Reading: Chapter 7 (Section 7.3; pp. 216-225)
| Learning Objectives: Understand the origins of money. Understand seminal models of bank runs.
Cutting edge theory: Making assessments of digital and crypto currencies. |