Chicago Tribune

Editorial: Given today’s gut-wrenching markets, a Nobel Prize for studying fear makes sense

Secretary General of the Royal Swedish Academy of Sciences Hans Ellegren and Members of the Economics Nobel Prize committee Tore Ellingsen and John Hassler give a press conference to announce the winners of the 2022 Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel at the Royal Swedish Academy of Sciences in Stockholm, on Oct. 10, 2022.

A trio of U.S. economists, including the University of Chicago’s Douglas Diamond, has won a Nobel Prize for explaining the causes of bank runs and other financial crises. Their research sheds light on the economic effects of fear.

How fitting for the moment through which we’re living.

Global financial markets are facing their most treacherous period since the Great Recession of 2007-08. Another recession appears to be brewing, as central banks and policymakers grapple with persistent inflation.

The Fed

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