We can do better than ‘Lose – Lose’ at Centennial (CO)

Could of, should of, or must of –– does the theory of “Moral Hazard” mean we should punish the residents of Centennial or Puerto Rico for the alleged bad judgment of past leaders?  Being a locally grown column, I won’t spend much time on Puerto Rico except to ask how do we expect a country on the verge of bankruptcy to both repay its debt and rebuild its infrastructure with its economy in ruins? Do we just turn back the clock to the 1800s and let emigration of these citizens and a mounting death toll solve the problem?  Some of us do. Under the precepts of moral hazard, the public should not assist those entities who have made bad policy decisions in the past, lest others be tempted to follow their path by over spending in anticipation of a bail out. We saw that argument play out during the last recession when many urged letting the auto companies go bankrupt in order to teach them and others the importance of fiscal austerity.    Read the article…………….