Stress Testing the System Simulating the Global Consequences of the Next Financial Crisis

Getting practitioners and scholars to focus on the policy problems associated with low-probability, high-cost events can often best be done by utilizing scenario-based simulations. The Council on Foreign Relations Project on Financial Vulnerabilities conducted such an exercise in January 2000. Stress Testing the System hypothesizes a fictional scenario in which a future financial crisis originates in the United States but quickly fans out to envelop financial markets around the world. The potential impacts on the global economy, on U.S. foreign relations, and on national security are played out in an intense financial "war game" with 75 current and former policymakers, market participants, and experts on finance, economics, foreign policy, and national security playing the roles of key government officials and agencies. This book tells the story of how the simulation was organized, how it worked, what was decided, and what the implications are for improving real-world policymaking. Anyone interested in U.S.,government decision-making will want to read this book.Kubarych, Roger is the author of 'Stress Testing the System Simulating the Global Consequences of the Next Financial Crisis', published 2001 under ISBN 9780876092712 and ISBN 0876092717.