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Bank runs occur when people fear that their bank has become (Click to select)insolventilliquid. Depositors rush to their bank to withdraw their funds. Depositors at
Bank runs occur when people fear that their bank has become (Click to select)insolventilliquid. Depositors rush to their bank to withdraw their funds. Depositors at other banks become concerned about their own banks (Click to select)solvencyliquidity, so they also hurry to withdraw their funds. Bank runs can turn into system-wide bank panics because customers have a difficult time distinguishing (Click to select)insolventilliquid banks from (Click to select)solventliquid ones.
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