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Another issue (in addition to executives not going to jail) is that monetary fines are inefficient against large corporations, especially banks, because if the
by nsajko 12y ago
Another issue (in addition to executives not going to jail) is that monetary fines are inefficient against large corporations, especially banks, because if the fine is significant, it hurts a whole economy.
A possible solution could be equity fines, but that's not yet practiced anywhere.
Edit: an equity fine would be if a corporation is forced to make more stocks, which are taken as a fine and sold.
- serve_yay 12y agoI guess it doesn't count as moral hazard when the banks have no incentive to refrain from behaving poorly.