Does that imply that banks have learned very little since bagehot or are these bank runs the consequence of new phenomena that have not been described by bagehot?

In his book Bagehot discusses three remedies to make the bank system more secure. Although
the banking system has matured since the days of Bagehot, bank runs still occur. Does that imply that banks have learned very little since Bagehot or are these bank runs the consequence of new phenomena that have not been described by Bagehot? For this essay we ask you to answer this question.Use the 2001 bank run in Argentina1 as an example to make your case.

Leave a Comment