Yanis Varoufakis: Bankruptocracy 2/4

The video discusses the concept of financialization and its role in the 2008 financial crisis, highlighting how the influx of capital into Wall Street led to the creation of unstable financial instruments. It introduces the Global Minotaur metaphor to explain economic imbalances and the breakdown of surplus recycling mechanisms. The video also explores the historical context of Bretton Woods and the importance of surplus recycling in maintaining economic stability.

How did the concept of financialization change the role of banks in the economy?

What factors contributed to the instability of the financial system leading up to the 2008 crisis?

What role did government bonds play in the aftermath of the Wall Street collapse?

Explain the metaphor of the Minotaur in relation to Wall Street and the global economy.

What was the significance of the recycling mechanism mentioned in the text?

How did the differences between Keynes and White affect the post-war economic system?

Discuss the impact of the 2008 financial crisis on the global economy as described in the text.