[The Next Financial Crisis Is Staring Us in the Face]()
**All it takes to see it is a long look in the mirror** - By Barry Ritholtz October 8, 2018


[Why so little has changed since the financial crash](https://knowen-production.s3.amazonaws.com/uploads/attachment/file/2277/Why%2Bso%2Blittle%2Bhas%2Bchanged%2Bsince%2Bthe%2Bfinancial%2Bcrash%2B_%2BFinancial%2BTimes.pdf) by Martin Wolf from FT

NO easy solutions.....
>  A more likely cause of inertia is the power of vested interests. Today’s rentextracting
> economy, masquerading as a free market, is, after all, hugely rewarding to politically
> influential insiders.

[Ten Years After the Global Financial Crisis: A Changed World](https://knowen-production.s3.amazonaws.com/uploads/attachment/file/2283/JPM_J_P__Morgan_Perspect_Kolanovic%2B-%2BGlobal%2BFinancial%2BCrisis.pdf) by JP Morgan and Kolanovic group
> Sharp decline in market depth and liquidity due to regulatory changes and rise of passive investment raises the risk of a Great
> Liquidity Crisis (GLC).


- diversification is the ONLY law of finance

[Things Fall Apart(part 2)](https://knowen-production.s3.amazonaws.com/uploads/attachment/file/2278/2018_09_05-Things-Fall-Apart-2.pdf) see a critical discussion by Ben Hunt of Epsilon Theory from politics to portfolio management in 2018

- incentives and motivation of economic players is the core of any activity, including economics

Asymmetries of interactions, incentives, and stability is the subject of Naseem Taleb books [Skin in the Game: Hidden Asymmetries in Daily Life](https://www.amazon.com/Skin-Game-Hidden-Asymmetries-Daily/dp/042528462X)