"Runs happen when depositors stop trusting the numbers created by a specific bank because they don’t think the bank will meet its reserve requirement at the end of the day."
I don't think that makes any sense as a categorical statement.
If a bank is short of reserves, but is solvent, then there's no need to panic. Or if it's insolvent, but you know the FDIC will make you whole. The case where you rationally try to get your money out before other people is when you either know that there will not be enough in total assets for everyone in the long run, or you cannot afford to wait for a liquidity crisis to be over.
I don't think that makes any sense as a categorical statement.
If a bank is short of reserves, but is solvent, then there's no need to panic. Or if it's insolvent, but you know the FDIC will make you whole. The case where you rationally try to get your money out before other people is when you either know that there will not be enough in total assets for everyone in the long run, or you cannot afford to wait for a liquidity crisis to be over.