Abnormally large and unexpected deposit withdrawals can occur because of concerns by depositors about a bank's solvency relative to other banks.

Name: Abnormally large and unexpected deposit withdrawals can occur because of concerns by depositors about a bank's solvency relative to other banks.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Depositors may worry that their bank is less financially stable than other banks and rush to withdraw their funds, leading to abnormally large and unexpected withdrawals.

Abnormally Large and Unexpected Deposit Withdrawals Can Occur Because of Concerns