Declaration issued by the German government in October 2008 during the financial crisis to protect households’ savings and time deposits with German banks. According to this declaration, the state is liable for these deposits if necessary. Similar declarations were also issued in the Netherlands and the Czech Republic. The reason for the guarantee declarations was to prevent millions of citizens from suddenly withdrawing their money from the banks. – However, this measure had the effect that many unsettled private investors then switched their holdings in equity, bond and money market funds in particular to savings and time deposits with the banks. – See Deposit insurance, bailout, run.
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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/