Commercial banks are an important part of the financial system, especially for individuals' borrowing and for the financing of small and medium-sized businesses. But there is an inherent fragility in banking because some bank assets are illiquid while the key bank liability, demand deposits, can be withdrawn at any time. Rules and regulations that attempt ...
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Mar 31, 2023, 3:38am
Fundamental: Why Do Banks Fail?
Commercial banks are an important part of the financial system, especially for individuals' borrowing and for the financing of small and medium-sized businesses. But there is an inherent fragility in banking because some bank assets are illiquid while the key bank liability, demand deposits, can be withdrawn at any time. Rules and regulations that attempt ...
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