Depositors Have a Strong Incentive to Show Up First to Withdraw

question 33

Multiple Choice

Depositors have a strong incentive to show up first to withdraw their funds during a bank crisis because banks operate on a

• A)last-in,first-out constraint.
• B)sequential service constraint.
• C)double-coincidence of wants constraint.
• D)everyone-shares-equally constraint.

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Definitions:

Supportive Leadership

A leadership style characterized by a focus on building relationships, encouraging open communication, and supporting employees in their personal and professional development.

Leadership Style

The characteristic manner and approach of providing direction, implementing plans, and motivating people that is utilized by a leader.

Democratic Leadership

A leadership style where the leader makes decisions based on the input of each team member. It values collaboration and the free flow of ideas.

Concern For People

The degree of emphasis an organization or leader places on attending to the well-being and personal needs of their employees.