Author: Anonymous

The Diamond-Dybvig model’s sequential service constraint means that banks pay withdrawals first come, first served. The 2023 bank run described in question 58 occurred largely through mobile banking apps and was coordinated via social media group chats. How does modern technology alter the dynamics of the sequential service constraint compared to when the model was published in 1983?

A loan officer at a community bank personally visits a restaurant owner’s establishment on a Saturday evening to observe customer traffic before approving a loan. This is an example of which type of information acquisition?

A veteran loan officer with 30 years of experience retires from a regional bank. Which of the following consequences are most likely? 

Using Exhibit 3, calculate the approximate change in Cornerstone Regional’s on-balance-sheet liquidity creation (asset side + liability side only, excluding OBS) between Pre-Crisis Q1Y1 and Peak Crisis Q3Y2. Which direction did on-balance-sheet LC move, and what was the primary driver?

A consultant proposes that Maple Grove could most effectively increase its LC/TA ratio by taking one of the following actions. Which would have the largest positive impact?

A bank offers two loan options to a borrower: Option A charges 8% interest with no collateral required; Option B charges 5% interest but requires the borrower to pledge real estate collateral. This self-selection mechanism achieves which risk management outcome?

A 48-year-old man with chronic alcohol use has easy bruising and prolonged bleeding after minor trauma. Labs show prolonged PT and aPTT with low albumin and elevated bilirubin. Which mechanism best explains his coagulopathy?  

A 25-year-old woman presents with fever, dehydration, and HR 128/min. ECG shows sinus tachycardia. Which underlying driver is most consistent with sinus tachycardia physiology?

A patient has organized electrical activity on the monitor but no palpable pulse after a massive pulmonary embolism. What does the ECG most directly represent?

Which phase of the ventricular action potential is most responsible for excitation–contraction coupling?