UT Dallas Economics Scholars Size Up Credit Crisis
Oct. 1, 2008
Credit may have grown scarce, but insights on the problem were many and varied Tuesday as UT Dallas economists addressed the nation’s financial crisis.
The forum was hosted by the Economics Program in the School of Economic, Political and Policy Sciences.
|Download an audio recording of the UT Dallas forum on the credit crisis. (Requires MP3 Player)|
The scholars sought partly to allay fears.
“I think there is investment capital out there. The money didn’t just go away,” said Dr. Ted Day, professor of finance and managerial economics.
After brief remarks from each scholar, Economics Program Head Dr. Jim Murdoch moderated a question-and-answer session with queries from the standing-room-only audience.
Day saw little chance that the credit crunch would touch off an economic event as catastrophic as the Great Depression. “I actually think the possibility of a meltdown is small,” he said.
If a calamity is in the offing, the nation has a well-versed expert at the economy’s controls, Dr. Stan Liebowitz said. The economics professor noted that Fed Chairman Ben Bernanke has thoroughly researched the Depression.
Liebowitz pegged the problem on federal policies that he said sought to make more Americans homeowners at the expense of safe lending practices.
“The government is highly responsible,” Liebowitz said.