How The Shadow Banking Contributed to The Financial Crisis

Shadow Banking Explained : The part of the financial system that lends the most money to Americans remains almost untouched by regulation. It's shadow banking,SHADOW banking contributed to the financial crisis. But with better regulation, says our correspondent, it could help reduce the severity of the next






What is riciculous is that the banks (and financial corporations) aren't subject to the same competition regulation as non-financial corporations (tech f.ex.) If a bank is so big it will crash the entire financial system of a country if it fails, it can not be allowed to take risks that could crash it. If it does it's dangerous recklessness and incompetence, or undermining national security.