The presence of deposit insurance in the savings and loan industry

A) created an adverse selection problem because good S&Ls were forced out of the market.
B) solved its own adverse selection problem because it pushed badly managed S&Ls out of the market.
C) contributed to "depositor moral hazard" but did not involve a moral hazard problem with owners.
D) contributed to "moral hazard by owners" but did not involve a moral hazard problem with depositors.
E) contributed to both "depositor moral hazard" and "moral hazard by owners."

E