Why did many banks go out of business as a result o?

Many banks went out of business due to a combination of factors, including poor risk management, exposure to high-risk loans, and the bursting of asset bubbles. The 2008 financial crisis, for example, was triggered by the collapse of the housing market, leading to significant losses for banks heavily invested in mortgage-backed securities. Additionally, inadequate regulatory oversight and the failure to adapt to changing market conditions exacerbated the situation, resulting in widespread bank failures.