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If financial soundness is not perfectly observable, then financially weaker contractors are selected with higher probability in any incentive compatible mechanism.
It would be odd if financial services were an exception.
If financial companies are excluded, the gain was just 2.6%.
If financial markets stabilize, all Americans will benefit.
If financial reporting can't be reformed, what can be?
And this could backfire on them if financial conditions in Europe deteriorate further.
If financial help is involved, it cannot be infinite and that must be explained.
If financial executives are going to behave as parasites, they should be shamed as parasites.
Why, for example, keep a general ledger, if financial reports can be compiled on the fly?
Even if financial markets were functioning normally, central bankers would face hard choices.
So without studying long-term outcomes, how can we know if financial aid really works?
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