JOURNAL ARTICLE

After SVB's demise, a banking scholar who used to work at the Federal Reserve breaks down the greatest hits of bank runs.

  • Published In: Fortune.com, 2023. P. N.PAG 1 of 3

  • Database: Business Source Ultimate 2 of 3

  • Authored By: Ramcharan, Rodney 3 of 3

Abstract

The article focuses on the unexpected collapse of Silicon Valley Bank (SVB) on March 10, 2023, despite its recent profitability, highlighting the role of modern communication and economic conditions in precipitating the failure. SVB's downfall is compared to historical banking crises, such as the Great Depression and the 2008 financial crisis, emphasizing how rapid changes in depositor behavior, particularly among tech sector clients, led to a bank run facilitated by social media. The government intervened by ensuring all depositors were repaid, signaling a commitment to prevent broader panic in the banking system, while concerns remain about the stability of smaller regional banks amidst ongoing economic challenges. [Extracted from the article]

Additional Information

  • Source:Fortune.com. 2023/03, pN.PAG
  • Document Type:Article
  • Subject Area:History
  • Publication Date:2023
  • Accession Number:162837442
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