I need help understanding the broken window fallacy and is it a good idea to agree with it?

Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter17: Financial Markets
Section: Chapter Questions
Problem 30CTQ: Explain how a company can fail when the safeguards that should be in place fail.
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I need help understanding the broken window fallacy and is it a good idea to agree with it?

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