Question: What is a bank run and why does it happen? Can you find a real life example of a bank run and discuss the circumstances

  1. What is a bank run and why does it happen? Can you find a real life example of a bank run and discuss the circumstances leading up to it.
  2. During the financial crisis, the Federal Reserve deemed some banks as "too big to fail." Do you think that there is a moral hazard associated with this or is it a necessary reality of the banking system?

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