« Another reason to approve of Krugman's Nobel prize | Main | Paulson, Brown and Harper »

Comments

Feed You can follow this conversation by subscribing to the comment feed for this post.

We're not supposed to be worrying about moral hazard anymore?

If the state as a risk-neutral, long-horizon investor can make a positive social return and help thaw private credit markets, then, yes, moral hazard is less of a concern.

But it is never too early to start reflecting on the deep, systemic causes of this crisis such as colonial-era dated first-come, first-serve policies under the larger umbrella of Tragedy of the Commons-prone dogma.

The comments to this entry are closed.

Search this site

  • Google

    WWW
    worthwhile.typepad.com
Blog powered by Typepad