Hyman Minsky Trend 2026

Hyman Minsky was an American economist whose theories explain financial instability, not as an accident, but as a built-in feature of capitalist markets. His "Financial Instability Hypothesis" describes how prolonged prosperity encourages risk-taking, eventually leading to speculative bubbles and debt crises. Policymakers, central bankers, and investors use Minsky’s framework to identify fragile market conditions, time risk exposure, and anticipate economic downturns before they spiral.