Inthis innovative and exhaustive study, Steven A. Ramirez posits that thesubprime mortgage crisis, as well as the global macroeconomic catastrophe itspawned, is traceable to a gross failure of law.Therule of law must appropriately channel and constrain the exercise of economicand political power. Used effectively, it ensures that economic opportunityisn't limited to a small group of elites that enjoy growth at the expense ofmany, particularly those in vulnerable economic situations. In Lawless Capitalism, Ramirez calls forthe rule of law to displace cronycapitalism. Only through the rule of law, he argues, can capitalism bereconstructed.
The Subprime Crisis and the Case for an Economic Rule of Law