Real and Financial Investment: A Review of Jack Rasmus, 2016, Systemic Fragility in the Global Economy

Document Type

Book Review

Publication Date



European Financial Review Pub.


Jack Rasmus’s Systemic Fragility in the Global Economy is an ambitious attempt to synthesise trends in the world economy, particularly since the 2007-09 financial crisis, to understand why fiscal, monetary, and regulatory policies have been largely ineffective in returning economies to paths of full employment growth, and to warn of the possibility, indeed likelihood, of even more severe financial crises in the future. It consists of three parts: surveys of developments in the United States, Europe, China, Japan, and Emerging Market Economies, distillation of common tendencies into nine main trends, and a critique of contemporary economic theory – including mainstream, Marxian and Minskyian, before a final chapter in which the author summarises his message.