Credit booms have globally fuelled hikes in stock, raw material and real estate markets which have culminated in the recent US subprime market crisis. We explain the global asset market booms since the mid 1980s based on the overinvestment theories of Hayek, Wicksell and Schumpeter. We argue...

Assuming that financial reforms continue to be implemented in emerging countries, forecasts and estimates are developed that show aggregate amounts of financial assets that can exist in the future. A scenario is presented in which world financial assets reach $700 trillion. This includes...