Innovations Lead to Economic Crises
Explaining the Bubble Economy

Authors: Jon-Arild Johannessen



Illustrates how political, economic and technological innovations have impacted economies globally

Provides detailed analysis of economic bubbles from the third century to the present day

Discusses the historical developments leading up to a range of economic crises

This book examines the link between innovation and economic crises through a systemic philosophy of economic history. Taking the end of the Roman Empire as its starting point, the author guides readers through six economic crises that have occurred up to the present day and uncovers how these may have been triggered by a number of political, economic and technological innovations. The author presents analyses on the Dutch tulip bubble of 1637, the Mississippi bubble in eighteenth-century France, the development of the first limited liability company and the world’s first stock exchange before going on to discuss the latest economic crisis and its links with globalisation and social connectivity following the technological advancement of the internet. The author concludes by explaining how we can use knowledge of the links between innovation and crises to frame a vital new model for policy makers and political leaders. The result is a fascinating insight into the cause of economic crises which will be of particular interest to students and researchers of economic history, financial crises, innovation and political science.

Table of contents

Front Matter

Introduction

The Long Economic Crisis of the Third Century

The Tulip Crisis of 1637

The South Sea and Mississippi Bubbles of 1720

The Long Depression: 1873–1893

The Great Depression of the 1930s

The Long Recession 2008–?

Conclusion: Innovation Policy

Back Matter