
Why Bernanke, Diamond and Dybvig won the Nobel Prize in Economics
Finshots Daily
00:00
FinChots Daily - The Nobel Prize Winners
The foundation of modern banking was laid by Ben Bernanke, Douglas Diamond and Philip Dibwig in the early 1980s. Their analyses have been of great practical importance in regulating financial markets and dealing with financial crises. They showed how a simple promise from a third party to fully cover your deposit could prevent people from making mass withdrawals.
Play episode from 04:48
Transcript


