Too Big to Fail

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August 25, 2024 5 min read Definitions
Moral Hazard: Increased Hazard Caused by an Entity That Is 'Too Big to Fail'
Economics Finance Banking Moral Hazard Too Big to Fail Risk Management Financial Stability Government Bailouts
Moral hazard refers to the increased risk-taking behavior of entities that believe they will be bailed out by the government or other institutions if their decisions lead to negative outcomes.
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