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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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"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 #politicsgovernment

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If banks anticipate government will come to the rescue should the credit market go badly awry,…

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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

About Eric Maskin

Eric Maskin was a Economist from United States (1950–present).

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Frequently Asked Questions

Who said "If banks anticipate government will come to the rescue should the credit market…"?
This quote is attributed to Eric Maskin, a Economist from United States.
When did Eric Maskin live?
Eric Maskin lived from 1950 – present.
What is this quote about?
This quote touches on Politics & Government. Browse more quotes on these themes from the categories page.