Final answer:
When individuals fear a bank failure, they may rush to withdraw their money, triggering a potential bank run and eventual failure.
Explanation:
When fearing a bank failure, individuals' natural response is to withdraw their money, potentially leading to a bank run where the bank cannot meet all demands, causing a failure. This scenario can occur if depositors doubt the bank's stability, leading to a loss of confidence in the institution.
Learn more about Bank Runs and Financial Stability here:
https://brainly.com/question/32718985
