Which of the following about bank runs is false?
A) They may start as a result of a rumour that a bank is in financial trouble.
B) Many banks' depositors try to withdraw their funds because they fear a bank failure.
C) Bank runs typically happen only to small banks with few financial assets.
D) Bank runs often lead to a loss of faith in other banks,causing additional bank runs.
Correct Answer:
Verified
Q81: A bank run occurs when:
A) too many
Q83: Use the following to answer questions:
Q85: The reserve ratio is defined as the
Q86: Bank reserves are:
A) the fraction of deposits
Q87: Among the liabilities of banks are:
A) customers'
Q92: Among the assets of a bank are:
A)
Q92: The reserve ratio is the:
A) bank's holdings
Q93: Banks can lend money because:
A) they have
Q95: The government has almost eliminated the possibility
Q99: A reserve ratio is the:
A) proportion of
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