A Review of Atif Mian and Amir Sufi’s House of Debt

Abstract

House of Debt by Atif Mian and Amir Sufi provides a pattern of large jumps in household debt and drops in spending preceding economic disasters. Based on national and international evidence, this book describes the way debt exacerbated the Great Recession, and also interprets the reasons why debt keeps on threatening the global economy, and what requires to be done to fix the financial system such as equity-like contracts.