A Bank Run Can Result in Bank Failure Because Banks

question 169

True/False

A bank run can result in bank failure because banks keep only a small fraction of their depositors' funds in the bank vault and are therefore unable to meet their customers' demands for their money.

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Definitions:

Independent

Not influenced or controlled by others; capable of thinking or acting for oneself.

Standard Deviations

A statistical measure indicating the dispersion or spread of a set of numbers from their mean; it shows how much variation there is from the average.

Independent

Not influenced by or subject to another, capable of thinking or acting for oneself.

Standard Deviations

An estimator of the dispersion level or variability in a sequence of numbers.