Gambling with Other People's Money
Book • 2019
In 'Gambling with Other People's Money', Russ Roberts argues that the 2008 financial crisis was largely caused by the implicit guarantee of bailouts for large financial institutions.
This created perverse incentives where institutions could take significant risks with minimal personal financial exposure, leading to reckless behavior.
Roberts emphasizes that this is not a failure of capitalism but rather a result of crony capitalism and moral hazard.
This created perverse incentives where institutions could take significant risks with minimal personal financial exposure, leading to reckless behavior.
Roberts emphasizes that this is not a failure of capitalism but rather a result of crony capitalism and moral hazard.
