The Economic Times

Wealth Quote of the Day by Douglas W. Diamond, The waters been so high for so long that people didnt even put on the skimpiest of bathing suits Why the Nobel economist warns that easy money hides risks, and rising rates expose

Wealth Quote of the Day by Douglas W. Diamond, The waters been so high for so long that people didnt even put on the skimpiest of bathing suits Nobel economist Douglas W. Diamond warns hidden risks lurk in todays low-rate economy. Corporations and banks overleverage during easy credit periods. Rising interest rates expose fragile balance sheets. Geopolitical tensions in Iran and Israel impact energy and financial markets. Diamonds research highlights liquidity shocks and bank run vulnerabilities.