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The Fact That Banks Operate on a "Sequential Service Constraint

Question 66

Multiple Choice

The fact that banks operate on a "sequential service constraint" means that


A) all depositors share equally in the bank's funds during a crisis.
B) depositors arriving last are just as likely to receive their funds as those arriving first.
C) depositors arriving first have the best chance of withdrawing their funds.
D) banks randomly select the depositors who will receive all of their funds.

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