Dan goes to the grocery store to buy bread. He sees that the cost of his favorite brand has increased. Instead of buying his favorite brand, Dan decides to purchase a different bread that is on sale. In this example, Dan is responding to

Gif the public and community loses trust in banks it affects the entire u.s. financial system. in order to keep this type of financial contagion from happening, the fed makes as needed short-term emergency loans, by acting as the lender of last resort. guides and regulates private deposit insurance programs to cover insolvent bank losses. decreases the money supply as acting lender of last resort.