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This is the true cost of the bank bailouts. This is the moral hazard incarnate.
by ImHereToVote 2y ago
This is the true cost of the bank bailouts. This is the moral hazard incarnate.
- pjc50 2y agoLocal councillors being against development is nothing to do with bank bailouts, which have (mostly) been repaid by selling off the banks again.
- ImHereToVote 2y agoThat isn't what I mean. The moral hazard is caused by the bailouts. It isn't about the sum itself. Merely the guarantee that the tab for large gambling losses will be taken by the taxpayers.
- rjsw 2y agoWe should have shot a few bankers in 2008 to encourage the others.
- immibis 2y agoHow about one in 2024?
- skywhopper 2y agoIt’s 2025.
- immibis 2y agoBut the CEO was killed in 2024.
- pipes 2y agoQuite a broad term "bankers". Who does that include?
- pjc50 2y ago- not gambling, mortgages - not in the end a loss (banks taken into government ownership eventually sold for about the acquisition price - bank shareholders lost their money - you don't want to see everything turned into Northern Rock bank runs
- ImHereToVote 2y agoThe banks should have been nationalised.Iceland was able to solve they Monte Carlo GFC event without creating a moral hazard.
- pjc50 2y agoThey DID nationalise the banks! https://researchbriefings.files.parliament.uk/documents/SN05748/SN05748.pdf https://researchbriefings.files.parliament.uk/documents/SN05... They ended up with 100% of Northern Rock and Bradford and Bingley; 84% of RBS, and 43% of Lloyds.
- ImHereToVote 2y agoThanks for that info. Live and learn.
- pjc50 2y agoThankyou for this comment. The GFC is a complicated subject; there WAS a lot of reprehensible behavior, but it's often not correctly identified because people like simple problems with clear villains. The history of Anglo-Irish Bank is an even more interesting story; Sean Quinn is one of the few bankers who was actually jailed, even if only for a short time.