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For obvious reasons, you cannot run while you are inside a brain scanner, so the neuroscientists studied the brain at rest. First, they saw increased co-ordinated activity in regions, mainly at the front of the brain, known to be involved in executive functions and working memory. This makes sense.

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Your default mode network is the source of your inner monologue, the instigator of mind-wandering and the voice that ruminates on your past. Its effects are not always welcome or helpful, and have been associated with clinical depression. Brain scans show that meditation and running can have a somewhat similar effect on the brain; simultaneously engaging executive functions and turning down the chatter of the default mode network.

Again, this seems intuitively right: in the midst of a run, you are likely to be immersed in the present moment, tuned into your bodily state, and conscious of your breath.


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These are all key aims of mindfulness-based practices. Lacing up your trainers and going for a run could, therefore, be a way to reap some of the psychological benefits of mindfulness. Companies, too, are cottoning on to the therapeutic effects of running: I recently worked with running-shoe company Saucony to create a podcast about the effects of running on the mind. All of this might start to explain why some people find that running, like mindfulness, can be a useful way to overcome stress and depression.

Recent research from the Karolinska Institute in Sweden shows, at a chemical level, how running can defuse at least one important biological stress pathway. When you are under stress, metabolic processes in your liver convert the amino acid tryptophan into a molecule with the mumble-inducing name of knyurenine. Some of that knyurenine finds its way into your brain, where its accumulation has been strongly associated with stress-induced depression, anxiety disorders and schizophrenia.

When you exercise, the levels of an enzyme called kynurenine aminotransferase build up in your muscles. This enzyme breaks down knyurenine into the related molecule kynurenic acid, which, importantly, cannot enter the brain. In this way, exercising your skeletal muscles by running clears from your bloodstream a substance that can cause mental health problems.

It is important to note that, for technical and ethical reasons, some of the details of this mechanism have been proven only in laboratory animals. At first glance, it is not obvious why working your leg muscles should have a direct effect on your mental state. This work provides rare insight into the often-mysterious links between brain and body — and is a powerful reminder that your brain is just another bodily organ.

What you choose to do with your body will, inevitably, have psychological consequences.

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A banking panic or bank panic is a financial crisis that occurs when many banks suffer runs at the same time, as people suddenly try to convert their threatened deposits into cash or try to get out of their domestic banking system altogether. A systemic banking crisis is one where all or almost all of the banking capital in a country is wiped out.

Federal Reserve chairman Ben Bernanke , the Great Depression was caused by the Federal Reserve System , [4] and much of the economic damage was caused directly by bank runs. Several techniques have been used to try to prevent bank runs or mitigate their effects. They have included a higher reserve requirement requiring banks to keep more of their reserves as cash , government bailouts of banks, supervision and regulation of commercial banks, the organization of central banks that act as a lender of last resort , the protection of deposit insurance systems such as the U.

Federal Deposit Insurance Corporation , [1] and after a run has started, a temporary suspension of withdrawals. Bank runs first appeared as part of cycles of credit expansion and its subsequent contraction. In the 16th century onwards, English goldsmiths issuing promissory notes suffered severe failures due to bad harvests, plummeting parts of the country into famine and unrest. Bank runs have also been used to blackmail individuals or governments. In , for example, the British government under the Duke of Wellington overturned a majority government on the orders of the king, William IV , to prevent reform the later Reform Act.

Wellington's actions angered reformers, and they threatened a run on the banks under the rallying cry " Stop the Duke, go for gold!

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Many of the recessions in the United States were caused by banking panics. The Great Depression contained several banking crises consisting of runs on multiple banks from to ; some of these were specific to regions of the U. Banking panics began in the Upper-South in November , one year after the stock market crash, triggered by the collapse of a string of banks in Tennessee and Kentucky, which brought down their correspondent networks.

In December, New York City experienced massive bank runs that were contained to the many branches of a single bank. Philadelphia was hit a week later by bank runs that affected several banks, but were successfully contained by quick action by the leading city banks and the Federal Reserve Bank. Milton Friedman and Anna Schwartz argued that steady withdrawals from banks by nervous depositors "hoarding" were inspired by news of the fall bank runs and forced banks to liquidate loans, which directly caused a decrease in the money supply, shrinking the economy. Citywide runs hit Boston Dec.

Louis Jan. The global financial crisis that began in was centered around market-liquidity failures that were comparable to a bank run. This crisis was caused by low real interest rates stimulating an asset price bubble fuelled by new financial products that were not stress tested and that failed in the downturn. Under fractional-reserve banking , the type of banking currently used in most developed countries , banks retain only a fraction of their demand deposits as cash.

The remainder is invested in securities and loans , whose terms are typically longer than the demand deposits, resulting in an asset—liability mismatch. No bank has enough reserves on hand to cope with all deposits being taken out at once.

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Diamond and Dybvig developed an influential model to explain why bank runs occur and why banks issue deposits that are more liquid than their assets. According to the model, the bank acts as an intermediary between borrowers who prefer long-maturity loans and depositors who prefer liquid accounts. In the model, business investment requires expenditures in the present to obtain returns that take time in coming, for example, spending on machines and buildings now for production in future years.

A business or entrepreneur that needs to borrow to finance investment will want to give their investments a long time to generate returns before full repayment, and will prefer long maturity loans, which offer little liquidity to the lender. The same principle applies to individuals and households seeking financing to purchase large-ticket items such as housing or automobiles. The households and firms who have the money to lend to these businesses may have sudden, unpredictable needs for cash, so they are often willing to lend only on the condition of being guaranteed immediate access to their money in the form of liquid demand deposit accounts , that is, accounts with shortest possible maturity.

Since borrowers need money and depositors fear to make these loans individually, banks provide a valuable service by aggregating funds from many individual deposits, portioning them into loans for borrowers, and spreading the risks both of default and sudden demands for cash. If only a few depositors withdraw at any given time, this arrangement works well.

Barring some major emergency on a scale matching or exceeding the bank's geographical area of operation, depositors' unpredictable needs for cash are unlikely to occur at the same time; that is, by the law of large numbers , banks can expect only a small percentage of accounts withdrawn on any one day because individual expenditure needs are largely uncorrelated.

A bank can make loans over a long horizon, while keeping only relatively small amounts of cash on hand to pay any depositors who may demand withdrawals. However, if many depositors withdraw all at once, the bank itself as opposed to individual investors may run short of liquidity, and depositors will rush to withdraw their money, forcing the bank to liquidate many of its assets at a loss, and eventually to fail.

A bank run can occur even when started by a false story. Examples of run in a Sentence Verb How fast can you run? He runs faster than anyone else on the team. She ran up the stairs to get her jacket. We ran for the train—but missed it. I heard her scream and ran to help. She ran to me for help. The dog ran away from me. The dog ran toward me. When I called the dog, he came running. Don't expect me to come running every time you want something.

I'm not your servant. Noun He goes for a six-mile run every evening. She took the dogs out for a run. Chicago Bears: Dave Birkett's scouting report, prediction," 27 Nov. Send us feedback.

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See more words from the same century From the Editors at Merriam-Webster. Accessed 8 January Keep scrolling for more More Definitions for run run. What It Is A run occurs when a flood of depositors withdraw their funds from a bank within a short time frame.


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  • Rather, when people deposit funds in a bank, the bank lends a portion of those funds out to people who want loans for houses, cars, businesses or whatever else. By lending out deposits, banks make money in the form of interest. However, they must keep a portion of those deposits on hand at all times to support the day-to-day inflow and outflow of funds that depositors need. Worried about the money in his checking and savings account there, John runs over to the bank and withdraws all of his money.

    He also tells his sister, his nephews and his parents, who also withdraw their money. Soon, more people withdraw their funds or transfer them to other banks.