Bank Bailout 2023: Necessary Evil or Moral Hazard?In March 2023, three small- to mid-size US banks failed, triggering a sharp decline in global bank stock prices and a swift response by regulators to prevent potential global contagion. Silicon Valley Bank (SVB), First Republic Bank (FRB), and Signature Bank all failed due to a combination of factors, including rising interest rates, inflation, and the ongoing war in Ukraine.