Eric Maskin quote

If banks anticipate government will come to the rescue should the credit market go badly awry, they may make loans that would otherwise be imprudent, e.g. subprime loans with little prospect of repayment.
Eric Maskin

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Lives of the Laureates: Twenty-three Nobel Economists (The MIT Press)
Lives of the Laureates: Twenty-three Nobel Economists (The MIT Press)
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