Aeron Davis provides a comprehensive examination of financial crises, tracing the patterns of economic bubbles, their inevitable bursts, and the resulting government bailouts that often protect financial elites at the expense of taxpayers. Drawing on historical examples from the Great Depression through to the 2008 global financial crisis, Davis explores how deregulation, excessive risk-taking, and flawed economic ideologies contribute to recurring market failures. He explains key economic concepts such as moral hazard, leverage, and systemic risk in an accessible way, shedding light on why financial markets are prone to instability.
Importantly, Davis highlights the political and social consequences of these crises, including increased inequality and loss of public trust. The book critiques the regulatory responses to past crises, arguing that they have often been insufficient or misguided, leaving the system vulnerable to future shocks. Ultimately, Davis calls for stronger oversight, greater transparency, and a more democratic approach to economic governance to break the cycle of boom and bust and create a more stable financial system.