When a Bank Experiences a Bank Run, It May Have

question 5

Multiple Choice

When a bank experiences a bank run, it may have to:

• A) print money to cover deposits.
• B) pay a higher insurance premium.
• C) offer depositors an IOU.
• D) call in its loans.
• E) increase its reserves.

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Definitions:

Basal Ganglia

The basal ganglia are a group of nuclei in the brain involved in controlling movement and coordination, as well as aspects of learning and emotional response.

Temporal Lobe

An area in the cerebral cortex tasked with analyzing sounds and storing memories.

Body Fat

A component of the human body that consists of stored fat, essential for energy storage, hormone function, and insulation.

Puberty

The biological developmental phase in humans during which adolescents reach sexual maturity and become capable of reproduction.