Which of the Following Is True of the Federal District

question 20

Multiple Choice

Which of the following is true of the federal district courts?

• A) They are the appellate courts of the federal judicial system.
• B) There are only 12 such courts in the U.S.
• C) These courts do not have the authority to impanel juries.
• D) They lack subject matter jurisdiction over diversity of citizenship cases.
• E) Most significant federal litigation begins in these courts.

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Definitions:

Arbitrage

The practice of buying and selling the same assets in different markets to take advantage of differing prices for the same asset.

Antitrust Laws

Legislation enacted to prevent monopolies or unfair business practices that restrict free competition, thereby protecting consumers and ensuring a fair market environment.

Natural Monopoly

A type of monopoly that exists due to the high cost or complexity of operating in a specific industry, which effectively prevents other competitors.

Monopoly Inefficiency

The loss of economic efficiency that occurs when a single firm controls the market, leading to higher prices and lower product quantity or quality than in competitive markets.