A Reader's Reaction to:
Letter: The Dangers of Forgetting Moral Hazard by Manfredo A. Dix.

Summary

Allen Barton counters: A bailout of subprime mortgage borrowers would not create a "moral hazard" because it could be limited to those "toxic" mortgages already issued and packaged in "toxic" securities, contrary to Manfredo Dix's fears.

Recommended Citation

Barton, Allen H. (2008) "Letter: The Moral Hazard of Bailing Out Borrowers," The Economists' Voice: Vol. 5 : Iss. 8, Article 2.
DOI: 10.2202/1553-3832.1503
Available at: http://www.bepress.com/ev/vol5/iss8/art2