In finance, the mutualization of risk is the process of dividing up exposure to potential risk or financial losses among many or all shareholders in a financial structure.

See also deposit insurance, bank run and public goods problem.


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  2. Stiglitz, Joseph E. "The theory of local public goods." In The economics of public services, pp. 274-333. Palgrave Macmillan, London, 1977.
  3. Roche, Cullen O. 2011. ‘Understanding the Modern Monetary System’.