By definition, "shadow banks are a diverse set of financial institutions that perform some functions similar to banks, but do so outside the regulatory system that applies to traditional banking." In the recession of 2008, the government financially rescued many shadow banks. Was this a moral hazard? If yes, then why did the government do this?

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The Answer of By definition, "shadow banks are a diverse set of financial institutions that perform some functions similar to banks, but do so outside the regulatory system that applies to traditional banking." In the recession of 2008, the government financially rescued many shadow banks. Was this a moral hazard? If yes, then why did the government do this?

By Definition, "Shadow Banks Are a Diverse Set of Financial