Use of Derivatives in Financial Industry Paper

The use of derivatives within financial institutions is considered to have contributed the financial crisis in 2008. Assess how the use of derivatives contributed to significant losses in the financial industry, indicating how such losses may be mitigated in the future. Provide a rationale for your response. Some economists and bankers believe that derivatives make the market safer. Agree or disagree with this statement, providing support for your position. Please provide one citation/reference for your initial posting that is not your textbook. Please do not use Investopedia or Wikipedia.

 

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