The Price of Time: The History and Impact of Interest

Edward Chancellor's award-winning book, "The Price of Time," stands as a pivotal work in understanding our global financial position, tracing the history of interest over five millennia. Recognized with the 2023 Hayek Book Prize and a contender for the 2022 Financial Times Business Book of the Year Award, this book delves deep into the evolution of borrowing and lending practices.

From its ancient roots, where usury was often condemned, to its integral role in the establishment of capitalism, interest has been a cornerstone in financial systems. Chancellor illustrates how interest not only incentivizes saving and helps in valuing assets like real estate and financial securities, but also plays a key role in risk assessment.

"The Price of Time" addresses a critical shift in the 21st century, where historically low interest rates have led to numerous economic challenges, such as asset price bubbles, reduced productivity growth, and increased inequality. Chancellor's insightful analysis reveals the dual nature of interest as both the "price of money" and more aptly, the "price of time," emphasizing its role in capital allocation and pricing.

Through "The Price of Time," Chancellor offers a comprehensive exploration of interest's history and its indispensable function in our financial world, making it an essential read for understanding modern economics and finance.