What Is a Bank Run and Why Does It Happen?
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Is there any way a bank run could happen? When a lot of customers want their money at once, due to fear of the stability of the bank. When a bank receives a run on deposits, that bank can find itself in a tight spot in a matter of moments because banks typically don't hold all the dollars deposited with them in cash. The bank's ability to meet customer demands could be impacted by a deposit run if it continues.
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