The Power of Yes
And what does he learn? Firstly that the current crisis has complex origins. He goes back to the work of a Nobel prize-winning economist, Myron Scholes, who in 1973 came up with an algebraic formula for eliminating risk. Hare then steers us through the birth of the Financial Services Authority, the fatal belief in light regulation, the growth of the British financial sector to the point where it accounted for 9% of the economy, and the American sub-prime crisis in which million-dollar mortgages were dished out to people with no income and no assets.