How does the existence of the fdic help prevent the problem


Problem

a. What is a bank run?

b. Why might one occur?

c. If the Fed took no action in the face of a bank run, what would be the effects on the money supply and on the money multiplier?

d. How does the existence of the FDIC help prevent this problem?

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Macroeconomics: How does the existence of the fdic help prevent the problem
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