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Moral hazard

It is poor policy to insulate the financial players from the risks and consequences of their actions in this case, as it reduces the incentive for them (and others)  to behave more responsibly and carefully in the future.

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The Global Financial Crisis
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How should the US and other governments respond?
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Measures to alleviate the immediate symptoms?
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The Emergency Economic Stabilization Act 2008
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Moral hazard
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Treasury Secretary has capital injection for stock option
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Contain the economic impact of the credit crunch
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Relieve the immediate credit crunch
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Abandoning free market principles
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Transfers a mass of toxic assets from banks to the government
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