I like Owner® Mutu Light™ Circle Hooks #2/0 or #3/0. Its a great hook for live bait because the wire is smaller and keeps the bait alive longer with more action. Another good one is Gamakatsu® Octopus Circle Hooks.
I hook the shiners through both lips being careful not to hit the brain. Fish eat other fish head first most of the time.
Good feedback above on hooks. One caution- I fish heavy cover with 30lb braid and #7 hooks normally. Tried shiners w/ Gamakatsu shiner hooks. Hooked into a monster, and shame on me for trying to horse it in, but that braid bent that hook staight as a nail! So remember to adjust line/ drag/ equipment when switching back and forth!
You may want to also use a hook with a weed guard if you fishing close to any cover. Shiners are awesome in grass beds and around structure. I think I use a 1/0 for shiners that size. I usually hook them through one nostril then through the bottom lip. Adding a small piece of a plastic worm to your hook before putting on the shiner will help keep the hook in place. If you don't, the hook will slide through the shiner and sometimes rehook the shiner. This could kill the shiner or prevent a good hook set on your next lunker. Hope this helps!