Introducing The Squam Lake Report: Fixing the Financial System

The Squam Lake Report is an excellent primer on the workings and failures of today’s sophisticated financial system. Few can fail to be impressed with the scholarship the Report brings to the subject of reform.”–Alan Greenspan

The Squam Lake Report makes an important contribution to the debate on financial regulation, highlighting many interesting and innovative ideas that should be considered by all those studying how a future crisis can be avoided.”–Mervyn King, Governor of the Bank of England

We invite you to read chapter one online at:

In the fall of 2008, fifteen of the world’s leading economists–representing the broadest spectrum of economic opinion–gathered at New Hampshire’s Squam Lake. Their goal: the mapping of a long-term plan for financial regulation reform.

The Squam Lake Report distills the wealth of insights from the ongoing collaboration that began at these meetings and provides a revelatory, unified, and coherent voice for fixing our troubled and damaged financial markets. As an alternative to the patchwork solutions and ideologically charged proposals that have dominated other discussions, the Squam Lake group sets forth a clear nonpartisan plan of action to transform the regulation of financial markets–not just for the current climate–but for generations to come.

Kenneth R. French is the Carl E. and Catherine M. Heidt Professor of Finance at Dartmouth College. Martin N. Baily is a senior fellow at the Brookings Institution. John Y. Campbell is the Morton L. and Carole S. Olshan Professor of Economics at Harvard University. John H. Cochrane is the AQR Capital Management Professor of Finance at the University of Chicago. Douglas W. Diamond is the Merton H. Miller Distinguished Service Professor of Finance at the University of Chicago. Darrell Duffie is the Dean Witter Distinguished Professor of Finance at Stanford University. Anil K Kashyap is the Edward Eagle Brown Professor of Economics and Finance at the University of Chicago. Frederic S. Mishkin is the Alfred Lerner Professor of Banking and Financial Institutions at Columbia University. Raghuram G. Rajan is the Eric J. Gleacher Distinguished Service Professor of Finance at the University of Chicago. David S. Scharfstein is the Edmund Cogswell Converse Professor of Finance and Banking at Harvard University. Robert J. Shiller is the Arthur M. Okun Professor of Economics at Yale University. Hyun Song Shin is the Hughes-Rogers Professor of Economics at Princeton University. Matthew J. Slaughter is the Signal Companies Professor of Management at Dartmouth College. Jeremy C. Stein is the Moise Y. Safra Professor of Economics at Harvard University. René M. Stulz is the Everett D. Reese Chair of Banking and Monetary Economics at Ohio State University.

Also available:
An interview with Squam Lake Group member Anil Kashyap:


  1. Thank you for providing the first chapter, it was a fascinating read!

  2. Yes, comprehensive works like this one are vital to our understanding of the complexity that is the global financial situation. However, the global financial profile cannot be separated from the accumulated personal financial structures and practices that make up the national economies in a very real sense. Nor can these be isolated from the psychological effects of consumer confidence, labor markets, or other day to day responses of individuals who make personal financial decisions. Let education begin there, and the permanence of all other efforts will be improved.