A long term perspective means preventing future recessions too, not just fixing the short term problems. Creating new moral hazards, negative incentives, behaviour and careers which would have been tarnished and discredited normally are allowed to continue, often with the same people and companies.

If we were serious about preventing recessions our policies should not only be measured in how they deal with the fallouts but also addressing the things that cause it in the first place, and balancing what’s lost by not letting the markets naturally correct themselves.