Dirk Bezemer - Growth and Crisis: The Two Faces of Credit

Dirk, a professor of economics, discusses his project on understanding the interaction between bank credit flows and economic growth, highlighting the dual role of finance in fostering growth and causing crises. He explains the empirical approach using data from European and OECD countries and the integration of agent-based models to analyze economic processes. Dirk shares his motivation rooted in past experiences and his teaching approach to engage students in new economic thinking.

What is one of the main functions of banks in the economy?

• To set interest rates

• To create new currencies

• To regulate inflation

• To allocate credit to investors

Which economist first emphasized the positive role of credit in economic growth?

• John Maynard Keynes

• Milton Friedman

• Adam Smith

• Joseph Schumpeter

What is a limitation of standard macroeconomic models according to the transcript?

• They do not account for inflation

• They do not incorporate finance

• They lack a focus on international trade

• They ignore government policies

What is a key feature of agent-based models in economic analysis?

• They focus solely on macroeconomic indicators

• They are used only in biological systems

• They include balance sheets to incorporate finance

• They predict stock market trends

What inspired the speaker's interest in financial structures during his academic career?

• A financial crisis in Albania

• A lecture on international trade

• A seminar on inflation control

• A workshop on economic policies

What is the title of the master's course mentioned in the transcript?

• Macroeconomic Stability

• Economic Policies and Growth

• Finance, Growth, and Crisis

• International Trade and Finance

Which paper is recommended for understanding credit booms and busts?

• Capital in the Twenty-First Century by Thomas Piketty

• The General Theory by John Maynard Keynes

• The Wealth of Nations by Adam Smith

• Credit Booms Gone Bust by Eric and Alan Taylor