Which Legislation Requires Financial Institutions to Disclose Their Privacy Policies

question 33

Multiple Choice

Which legislation requires financial institutions to disclose their privacy policies to customers?

• A)The Gramm-Leach-Bliley Act of 1999
• B)Children's Online Privacy Protection Act of 1998
• C)Telecommunications Act of 1996
• D)Privacy Act of 1974

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Definitions:

Free-rides

The situation where individuals consume a public good without contributing to its cost, benefiting from others' contributions.

Common Resource

A natural or man-made resource where one user's consumption reduces or diminishes the utility of that resource for others, and where it is difficult to exclude anyone from using the resource.

Rival

Refers to a competitor within the same market that offers similar products or services.

Nonexcludable

A nonexcludable good or service is one where it is impossible, or highly costly, to prevent someone from benefiting from it, regardless of whether they have contributed towards it, such as public parks or national defense.