On Moral Hazards
Excellent balanced reporting explaining the economics of moral hazards via PBS News Hour (with streaming video):
Bailout of Mortgage Firms Could Set Risky Precedent
As the nation's housing woes continue, the government announced a plan this week to shore up mortgage-giants Fannie Mae and Freddie Mac. Paul Solman weighs the role of government intervention and the possible ramifications of rewarding risky financial behaviors.
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