Leverage is an essential part of the financial system, and when used properly it allows businesses to borrow funds to invest in growth and expansion, offers opportunities for reasonably priced housing, and much more. But current imbalances in the ways in which leverage is being used by the rich and powerful in the United States and abroad have led to an alarming situation that threatens to shake the global economy to its core.
In Leverage: How Cheap Money Will Destroy the World, well-known market commentator Karl Denninger literally follows the money, tracing the path it has taken through history and discovers a shocking truththe power to control a nation's purse strings is addictive, and when that power falls into the hands of only a select few, they will pull the levers of government and policy to enrich themselves at the expense of everyone else. History is littered with the stories of collapsed monetary systems, and in every case the debasement of the currency in question, and the disasters that followed, can be directly blamed on excessive leverage, deployed in ill-intentioned and fraudulent ways by the elite.
The current Great Recession is no exception to this rule. It was no accident, and the politicians and monied interests responsible knew that it was coming. Special interests and other influential individuals have always used leverage to enrich themselves while looting the population at large. Eventually the bill always comes due and then we all have to pay.
With Leverage in hand, we can avoid this disaster, and Denninger shows how. With practical, realistic ideas for fixing the financial system, devising sound energy policies, and more, the book stands between us and a debt we simply can't afford.
Praise for Leverage
"Karl Denninger is a brilliant economist and someone whose opinions I respect and highly value.Leverage is a remarkable work that I highly recommend to anyone who wants to truly grasp the principles that drive our current economy and the breakdowns that occur when the fundamental mathematical laws governing economies are ignored or obfuscated. Karl has taken a complex macroeconomic system and masterfully pared it down to its essence. Leverage presents this information in an elegantly simple manner that the average high school student would understand, and provides a realistic plan for eliminating the mechanisms that have caused the 'boom and bust' cycles and over-leveraging that have plagued our economy for decades."Adrian Wyllie, Chairman of the Libertarian Party of Florida and syndicated talk radio host
"Karl is something of a rarity in our politicsa Tea Party conservative who believes in strong and effective regulation as a mechanism towards reducing excessive leverage in our economy. He spares no one in this discussion of a financial services industry that colluded with the government to rip off Americans by convincing them that home prices could never decline and that home equity was an ATM. Undergirding all of this was leverage, a useful tool that can become a poison if ingested wrongly or in unwise amounts. Leverage infects our medical system, educational system, and government. I don't agree with everything Karl says. I am after all a liberal, and he is not. But he provides a clear explanation of what is wrong with our economic and political order, and how to fix it."Matt Stoller, American political activist and writer
"Karl Denninger of The Market Ticker® has been a prophetic voice crying in the wilderness, repeatedly warning the world of the dangers of excessive debt. In Leverage, he provides a cogent analysis of the current economic crisis as well as a set of drastic policy prescriptions that may be the U.S. economy's only chance for eventual recovery."Vox Day, author of The Return of the Great Depression
"In 2007, our once lucrative business was collapsing. The harder we worked, the more difficult it became to afford even a modest standard of living. Out of a desperate need for answers, I started researching and that research led me to Karl Denninger's Market Ticker. As a quintessential Jane Six Pack, I knew only the basics of economics and the financial sense my accountant father had instilled in me. What I have learned from Karl over the past four years has changed my family's life, and I credit Karl for saving us from the financial ruin that has devastated many of our friends and extended family. Thankfully, Karl has simplified and condensed all this knowledge and information into one, easy-to-read book; so it won't take you as long as it took me to understand the scope of what we face and how to protect yourself and the people you love. Leverage is both frightening in its reality and hopeful in that it gives us the tools to change our future. Leverage should be in every classroom in America."Stephanie Jasky, founder, FedUpUSA.org
The very title of this book is a prediction from the author, K Denninger, to his readers. The problem is: In my opinion, you should never listen to Karl Denninger when he makes an... Read morePublished 2 months ago by Picturesque Music
Karl Denninger has succinctly covered the big issues with today's economy and government. Especially interesting is his discussion on exporting inflation and the pitfalls of... Read morePublished 8 months ago by Sparkie
Fantastic book. Great information. Too many Americans have no idea what is really happening in the financial world. This explains it thoroughly but in a way anyone can understand.Published 9 months ago by Sharonk720
Karl does a nice job of explaining our current situation and how we got here. I would like to live in the honest world with sound money which he envisions. Read morePublished 12 months ago by Edward W. Cotter
If you don't agree with is fanboy arguments he just silences you on his site and bans you. Typical one sided arguments, he's always right everyone else is wrong. Read morePublished 16 months ago by T. Pro
Mr. Denninger does a fabulous job highlighting the cause and effect of the politicians and bankers have had on our country. This is a must read!! Read morePublished 20 months ago by WS
Don't waste your time. Serious ego alert, a fluff book by a know it all.
Little substance, very heavy on opinion and dogma.
Excellent book explains a lot of things going on in this market I knew was happening but didn't fully understandPublished 20 months ago by scott
Karl is a renaissance man. Way too few of them today. Grateful for his insight, wisdom and willingness to share both. Enlightening.Published 21 months ago by CB