Although the FDIC Was Created to Prevent Bank Failures,its Existence

question 14

Multiple Choice

Although the FDIC was created to prevent bank failures,its existence encourages banks to

• A)take too much risk.
• B)hold too much capital.
• C)open too many branches.
• D)buy too much stock.

---

Definitions:

Antisocial Personality Disorder

A mental condition characterized by a long-term pattern of manipulating, exploiting, or violating the rights of others. This behavior is often criminal.

Dissociative Fugue

A rare psychiatric disorder characterized by reversible amnesia for personal identity, including the memories, personality, and other identifying characteristics of individuality.

Binge-Eating Disorder

A serious eating disorder characterized by frequent episodes of consuming very large amounts of food but without subsequent purging behaviors, like vomiting.

Bulimia Nervosa

A psychological eating disorder characterized by recurrent binge eating followed by inappropriate compensatory behaviors such as vomiting.