In a fractional reserve banking system loading ... , what is the difference between a "bank run" and a "bank panic?"

a. a bank run involves one bank; a bank panic involves many banks.

b. a bank run is a local issue; a bank panic is a national issue.

c. a bank run involves many banks; a bank panic involves one bank.

d. a bank run is a u. s. issue; a bank panic is an international issue.

Question

Business

Cora Lester

3 March, 10:47

In a fractional reserve banking system loading ... , what is the difference between a "bank run" and a "bank panic?"

a. a bank run involves one bank; a bank panic involves many banks.

b. a bank run is a local issue; a bank panic is a national issue.

c. a bank run involves many banks; a bank panic involves one bank.

d. a bank run is a u. s. issue; a bank panic is an international issue.

+5

Answers (1)

Know the Answer?

Yair Fowler · Answer 1

In a fractional reserve banking system loading what is the difference between a "bank run" and a "bank panic?" A bank run involves one bank; a bank panic involves many banks.

A bank run is when there are a lot of people withdrawing money from a bank at once to confuse the system. A bank panic is a financial crisis done with many banks suffering at the same time.