Macro Musings with David Beckworth cover image

103 - Daniela Gabor on Safe Assets and Shadow Banking

Macro Musings with David Beckworth

00:00

Shadow Banks Aren't a Sustainable Solution, Right?

Shadow money is money for these institutional investors, kind of like the money we have at a bank account. Shadow banks are effectively filling the gap wh shadow bankain't his way to provide that service for them. And then the danger we get into with shadow banks is that they're very large. That it's six point two trillion dollars, you get into big numbers, and potentially there can be runs on the shadow banks.

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