The Big Short: Inside the Doomsday Machine
by Michael Lewis
Beginning with his first semi-autobiographical book, Liar’s Poker (1989), Lewis has built a successful career chronicling some of the spectacularly disastrous bubbles created courtesy of Wall Street and the banking and finance industry. His public recognition in mainstream culture has been elevated through the film adaption of other subjects he has tackled, notably The Blind Side (2009) and Moneyball (2011).
In The Big Short (2010), he revisits the world of finance, and for a particularly complex topic, he provides an intelligible and engrossing account of the architecture of the housing and credit market that precipitated the 2008 crash. Possessed of short memories, just a few short years later the “big swinging dicks” of the banking industry appear to be bent on reinventing the failure. And so, The Big Short is a worthwhile read not only as a historical account, but also as a primer on human nature and how to build a credit bubble.