A Run on a Bank May Occur If

question 63

Multiple Choice

A run on a bank may occur if

• A)depositors withdraw some funds to invest in the stock market.
• B)required reserves are increased.
• C)interest rates are raised.
• D)depositors lose confidence in the bank and attempt to withdraw all their funds.
• E)All of the above are correct.

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Definitions:

Descriptive Statistics

Descriptive statistics involve statistical techniques that summarize or describe the main features of a collection of data, including measures like mean, median, and mode.

Mean, Median, Mode

Statistical measures where mean is the average value, median is the middle value when data is ordered, and mode is the most frequently occurring value in a data set.

Standard Deviation

A measure of the amount of variation or dispersion in a set of values.

Bivariate Statistics

Statistical methods that involve the analysis of two variables simultaneously, for the purposes of determining the empirical relationship between them.