Think Interest Rates Are High? Think Again! | Dr. Richard Sylla

On todays episode of Forward Guidance, Professor Emeritus of Economics at Leonard N. Stern School of Business, author and financial historian Dr. Richard Sylla joins the show for a discussion on one of his most widely studied areas... interest rates. After authoring "A History of Interest Rates", a book which examined over four millennia of interest rates trhoughout periods of inflation, financial crises' and recessions, there's no one better equipped to discuss the Fed's current tightening cycle and how it impacted banks such as SVB in the Fed's current quest to fight inflation.

Just how severe is this current tightening cycle when compared to other times in history? According to Dr. Sylla, this is nothing new as "history doesn't repeat, but it often rhymes". To hear all this and more, you'll have to tune in!
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Referenced In The Show:

A History of Interest Rates: https://www.amazon.co.uk/History-Inte...

Alexander Hamilton on Finance, Credit, and Debt: https://www.amazon.com/Alexander-Hami...

Alexander Hamilton, Central Banker: Crisis Management During the U.S Financial Panic of 1792: https://w4.stern.nyu.edu/research/ale...
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Timestamps:

00:00 Introduction
00:39 A Return To Normalcy For Interest Rates
05:10 How Interest Rate Rises Led To SVB's Collapse
09:24 The First Bank of The United States
13:36 Paul Volcker's Historic Interest Rate Rises
20:35 Why We Have Inflation Now... But Not Post 2008
28:03 Permissionless
29:06 The Fed's Between A Rock & A Hard Place
32:03 The Savings & Loan Crisis
37:41 All Signs Point Towards A Recession
44:59 Blockworks Research
45:59 What An Inverted Yield Curve Really Indicates
48:49 A Banking Panic Solution, Through The Eyes of Alexander Hamilton
57:03 How ZIRP Caused Problems In The Financial System
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Disclaimer: Nothing discussed on Forward Guidance should be considered as investment advice. Please always do your own research & speak to a financial advisor before thinking about, thinking about putting your money into these crazy markets.