[tome]

> When you deposit money with a bank (in the United States in 2023), you basically never consider the possibility that you might not get it all back.

This is an assumption which desperately needs to change, in my opinion, otherwise the risk of bank runs will be a think ad infinitum.

[stanleydrew]

Isn't the risk of bank runs increased without this assumption? If we're all consistently attentive and worried that we may not get our bank deposits back, then every minor hiccup at a bank could plausibly cause a run.

[tome]

I wonder if it works at both extremes:

1. if you know your deposits are at risk then you actively work to derisk them, for example placing most of your cash in T-Bills.

2. if you know your deposits are safe then you just keep them in the bank.

The middle seems less stable.