large numbers of investors losing confidence in the solvency of their banks and demanded deposits in cash…

large numbers of investors losing confidence in the solvency of their banks and demanded deposits in cash, forcing banks to liquidate loans in order to supplement their insufficient cash reserves on hand. the preceding sentence is a definition of: * 5 points\nforeclosure\npanic selling\nbank run\nshorting stock

large numbers of investors losing confidence in the solvency of their banks and demanded deposits in cash, forcing banks to liquidate loans in order to supplement their insufficient cash reserves on hand. the preceding sentence is a definition of: * 5 points\nforeclosure\npanic selling\nbank run\nshorting stock

Answer

Brief Explanations:

A bank - run occurs when many investors lose confidence in a bank's solvency and demand cash withdrawals, forcing banks to liquidate loans. Foreclosure is related to property repossession, panic - selling is about selling assets in a hurry due to fear, and shorting stock is a trading strategy.

Answer:

C. Bank run