Why Is the Possibility of a Bank Run Extremely Small

question 25

Multiple Choice

Why is the possibility of a bank run extremely small in Canada today?

• A)The Bank of Canada guarantees the deposits at all commercial banks in Canada,eliminating the danger of a rush of withdrawals.
• B)The Department of Finance guarantees the deposits at all commercial banks in Canada,eliminating the danger of a rush of withdrawals.
• C)The Canadian Deposit Insurance Corporation provides deposit insurance on eligible deposits,so most depositors would not feel the need to withdraw all of their money in a panic.
• D)The Office of the Superintendent of Financial Institutions provides deposit insurance on eligible deposits,so most depositors would not feel the need to withdraw all of their money in a panic.
• E)The banking superintendent of Canada guarantees the deposits at all commercial banks in Canada,eliminating the danger of a rush of withdrawals.

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Definitions:

Secondary Ossification

The phase of bone development that occurs after birth, where bone tissue is formed in the epiphyses of long bones, leading to growth in length.

Medullary Cavity

A central cavity of bone shafts where red and/or yellow marrow is stored.

Compact Bone

Type of bone that contains osteons consisting of concentric layers of matrix and osteocytes in lacunae.

Spongy Bone

A type of bone tissue that has a porous structure, found at the ends of long bones and within the interior of vertebrae, facilitating the movement of nutrients and waste.