This paper develops a simple neoclassical model of the business cycle in which the condition of borrowers' balance sheets is a source of output dynamics. The mechanism is that higher borrower net worth reduces the agency costs of financing real capital investments. Business upturns improve net...

"An examination of the challenges facing Fed chair Ben Bernanke as he addresses the problems affecting the U.S. economy inherited from his predecessor, Alan Greenspan, informed by a historical look at how other central bankers have dealt with similar crises" - Provided by publisher

"This is a ground-breaking look at Federal Reserve chair Ben Bernanke, the man steering the U.S. economy through the greatest financial crisis since the Great Depresion, and the ways which the challenges facing Bernanke were created, in large part, by his predecessor, Alan Greenspan"--Cover p. 4