In the past systemic bank run meant people going to the bank and taking physical cash (banknotes) from the banks until they ran out of money. However today you cannot withdrawal significant amount of physical cash since the banks limit the amount you can take (even in normal circumstances). I've seen modern bank runs where people simply transfer their money from one bank to another. But this is bank run only on the first bank that simultaneously increases the liquidity of the second bank.
So... Is systemic bank run today possible and how would it look?
Good question. In the American banking system, most deposits are insured through the FDIC. That makes them somewhat separate from the bank itself and insulates the bank from a run. Bank runs are usually about fears over individual bank sovereignty and that dynamic is mostly gone.
A general bank run may look more like people spending down their deposits. However, that would only cause something like a bank run if those vendors were not depositing their receipts in a bank.
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Yes the entire system is intertwined as we saw with 2008 issues where one or two banks becoming insolvent can usurp the whole system. It may not occur as a depositor bank run but maybe more institutions trying to get out from under each others toxic liabilities.
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