Simon Johnson: The Coming Meta-Boom and Meta-Bust

Simon Johnson, a former chief economist for the International Monetary Fund and author of 13 Bankers: The Wall Street Takeover and the Next Financial Meltdown, says the recently passed Dodd-Frank Financial Reform Act does little to prevent the biggest financial risk of our time: banks that are becoming "Too Big to Save," either because potential losses could overwhelm government resources or the public will refuse to sanction another large bailout. Either way, the world economy could crash once again. But preceding any crash, watch for a worldwide "meta-boom." Knowledge@Wharton discussed this and several others issues with Johnson, including how shrinking down big banks could ward off financial meltdowns, Ireland’s solvency-threatening debt burden and the implications of Basel III.



Edward Harrison is the founder of Credit Writedowns and a former career diplomat, investment banker and technology executive with over twenty years of business experience. He is also a regular economic and financial commentator on BBC World News, CNBC Television, Business News Network, CBC, Fox Television and RT Television. He speaks six languages and reads another five, skills he uses to provide a more global perspective. Edward holds an MBA in Finance from Columbia University and a BA in Economics from Dartmouth College. Edward also writes a premium financial newsletter. Sign up here for a free trial.