From bank bailouts to the "Fed put," moral hazard has long been a key determinant of market pricing and investor behavior. In emerging markets ((EM)), the International Monetary Fund ((IMF)) has been the traditional lender of last resort for many years, supporting numerous crisis-hit countries but attempting to avoid moral hazard by requiring that borrowers meet specific conditions and have defined financial goals.
However, the IMF is no longer the only game in town: As U.S. commercial and political influence has retreated of late, other countries with the means are increasingly using financial