In _______________, Congress Enacted Restrictions on the Way Financial Institutions

question 28

Multiple Choice

In _______________, Congress enacted restrictions on the way financial institutions disclose information on customers to third parties. The law also requires financial institutions to provide disclosures, both at the time of establishing the customer relationship and annually thereafter.

• A) Gramm-Billey Act of 1998
• B) Gramm-Leach Act of 2000
• C) Gramm-Leach-Billey Act of 1999
• D) Gramm-Leach-Billey Act of 2001

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Definitions:

Inefficient Outcomes

Situations where resources are not allocated optimally, resulting in potential losses in economic welfare.

Allocative Efficiency

A state of resource allocation where it is impossible to make any one individual better off without making someone else worse off, often achieved when marginal cost equals marginal benefit.

Government Budget

A financial statement presenting the government's projected revenue and spending for a specific fiscal period, outlining planned financial operations and priorities.

Allocative Efficiency

A state of the economy where resources are allocated in a way that maximizes the utility or satisfaction of consumers.