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Silicon Valley and Signature bank collapses: what is moral hazard, and does anyone care?

Moral hazard is a well-established economic concept that basically says if there are no consequences for bad corporate behavior, there’s no incentive for companies to change their ways. That was the stink that followed the bailout of banks after the 2008 financial crisis. Once businesses become “too big to fail,” they can pretty much do as they please, engaging in the same risky behavior. Commentary from David Lazarus: https://ktla.com/news/money-smart/wha... Get Los Angeles breaking news, entertainment, weather, traffic and sports from L.A.'s Very Own, KTLA 5 News. Keeping Southern Californians informed since 1947. Online: https://ktla.com/