Okay, so we know why the 2008 financial crisis occurred. Basically western economies grew at 3% but investments grew at 6%, creating a bubble. As the bubble hit its natural peak, financial institutions and government institutions basically kept the process going, as they always do.
But this documentary says the economists don't understand this. They also say that they don't predict bubbles, despite the fact that economists know exactly how to predict bubbles.
The take one out of date and somewhat discredited economist from the 1950s, Minsky, who argues for regulation over free market principles, despite the fact that we know that regulated economies are far less stable than free market economies.
They even say that economics at university doesn't teach you how to manage the economy. Which is true, as most economics graduates just do basic financial calculations in businesses. You know, working out how much it is feasible to borrow for a business, how to manage business risk and so on, and not on how to manage a countries economy.
Basically they set up a strawman who doesn't get a right of reply to their BS. Their whole argument is that the current financial system is not perfect, therefore we need a new one. They talk vaguely about Minsky and regulation, but don't propose an alternative solution.
Basically pathetic, and a waste your time. The first paragraph of this review contains more information about the 2008 financial crisis than the entire hour and 10 minutes of this rubbish.
