1.The value of a bank charter would be increased by

I.Broadening the activities banks can engage in

II. Doubling capital adequacy requirements

III.Increasing reserve requirements

IV.Tightening restrictions on new charters

A.I only

B.I and II only

C.III and IV only

D.I and IV only

E.II and III only

2.Major banking legislation was enacted in the U.S. in 1999.This law allows banking firms to combine with firms in the insurance and securities businesses.This law is the:

A.FDIC Improvement Act

B.Financial Services Modernization Act

C.FIRREA

D.Dodd-Frank Act

E.Bank Holding Company Act

3.The reduction in deposit funds cost to an individual depository institution (DI) brought about by government deposit insurance is an example of the

A.social benefit of regulation.

B.private cost of regulation to DIs.

C.private benefits of regulation to DIs.

D.regulatory burden relief.

E.none of the above

4.The Riegle-Neal Act was notable for:

A.introducing bank deposit insurance in the U.S.

B.bringing foreign banks operating in the U.S. under regulatory control.

C.opening the door to full interstate banking in the U.S.

D.starting a new insurance program for savings institutions.

E.initiating the chartering process for U.S. commercial banks.

5.The Glass-Steagall Act sought to:

A.end deposit insurance for commercial banks.

B.bring bank holding companies under regulation of the Federal Reserve.

C.impose a rigid separation between commercial banking and investment banking.

D.deal with the crisis among savings and loan associations in the 1980s.

E.allow insurance companies and securities firms to combine with commercial banks.