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by WillPostForFood 633 days ago
Businesses won't plan long term or for black swan events if they don't have to; it is rational not to if they know a bailout is coming.
1 comments

Businesses won't plan for black swan events when the people operating them have other sufficient wealth that the death of the company doesn't pose a serious problem for them. When CEOs make enough in a year to retire, there's no need to to worry about a potential catastrophic failure next year.