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> the urging to pull out doesn’t have to be fabricated, just hypothetical Isn't any identification of a run risk hypothetical? I think the question is whether
by pfannkuchen 4y ago
> the urging to pull out doesn’t have to be fabricated, just hypothetical
Isn't any identification of a run risk hypothetical? I think the question is whether it was a reasonable concern or not. If it was a reasonable concern, then the run is simply rational behavior for an uncoordinated group. If it was not a reasonable concern, then the run was irrational and panic driven. My issue with it being an unreasonable concern is that I haven't seen anyone claim this explicitly or provide a rationale. If anyone has a rationale for how it was an unreasonable concern, I am interested..
- reb 4y agoAgain, I haven’t seen (or can’t recall) seeing anyone credibly make the case that the concern was unreasonable. I have seen some saying that promoting the concern within Founder’s Fund triggered the bank run, but that seems like a distinct position to me.