Its subsidizing the risks that are bad for the economy.
If you're taking a lot of risk and it blows up in your face, you SHOULD lose your shirt.
The people who are NOT involved in your decision should NOT be made to pay.
People can only learn from mistakes if behavior and outcomes are tightly coupled, not if all the outcomes happen to other people and you start getting all your bonuses next year like nothing ever happened.
If you're taking a lot of risk and it blows up in your face, you SHOULD lose your shirt.
The people who are NOT involved in your decision should NOT be made to pay.
People can only learn from mistakes if behavior and outcomes are tightly coupled, not if all the outcomes happen to other people and you start getting all your bonuses next year like nothing ever happened.