Endogenous Instability
10 June 2015
Financial Risk Management is strongly hindered by the conventional macro-economic vision
of the world, assuming stabilising cyclical processes, that are once in a while temporarily
taken out of equilibrium due to external shocks. Reality is much more hectic and has more
similarities with debt-driven instability created from within the economy. This results in much
more severe market crashes and deeper depressions than conventional theory teaches us. This
is the theory of Endogenous Instability.
