Bank Run

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A bank run (also known as a run on the bank) occurs when a large number of bank customers withdraw their deposits because they believe the bank is, or might become, insolvent. As a bank run progresses, it generates its own momentum, in a kind of self-fulfilling prophecy (or positive feedback): as more people withdraw their deposits, the likelihood of default increases, and this encourages further withdrawals. This can destabilize the bank to the point where it faces bankruptcy. A banking panic or bank panic is a financial crisis that occurs when many banks suffer runs at the same time. A systemic banking crisis is one where all or almost all of the banking capital in a country is wiped out

Weitere Informationen

  • Allgemeine Informationen
    • GTIN 09786130652210
    • Editor Frederic P. Miller, Agnes F. Vandome, John McBrewster
    • Sprache Englisch
    • Größe H220mm x B150mm x T9mm
    • Jahr 2010
    • EAN 9786130652210
    • Format Fachbuch
    • ISBN 978-613-0-65221-0
    • Titel Bank Run
    • Untertitel Bank, Deposit account, Insolvency, Self-fulfilling prophecy, Positive feedback, Bankruptcy, Financial crisis, Recession, Great Depression, Gross domestic product, Central bank
    • Gewicht 249g
    • Herausgeber Alphascript Publishing
    • Anzahl Seiten 156
    • Genre Wirtschaft

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