Understanding Bank Runs Via an Experımental Approach

Abstract

Considering the negative effects of the banking crises on the economies, bank attacks; It is becoming one of the important reasons triggering the crises in the banking sector. Bank offenses are defined as depositors' withdrawing their money from the system in a panic environment without any need. In times of crisis, it is necessary to develop various policies and to analyze the risk source well in order to minimize the risks in the banking sector. For this purpose, the importance of experimental approaches is emerging in understanding bank offenses. In this study, an application was carried out with 192 participants between the ages of 18 and 53 in order to understand how to solve coordination problems in order to prevent bank attacks, which are a result of lack of coordination between individuals. As a result of the implementation, it has been determined that if the education level of depositors increases and there is a small amount of money, the attack on banks decreases. In addition, a significant relationship was found between age and income factors and bank offensive behavior. It is thought that this analysis will contribute to future studies and may reveal solutions in times of crisis.