The Following Three FIs Dominate a Local Market and Their

question 115

Multiple Choice

The following three FIs dominate a local market and their total assets are given below.
$\begin{array}{lccc} \text {Institution }& \text { Asset Size}\\ \text {Bank A}&\$ 50 \text { million}\\ \text {Bank B}& \$ 60 \text { million}\\ \text {Bank C}&\$ 90 \text { million}\\\end{array}$
Under the 1982 guidelines,would the Fed approve the merger of Banks A and B?

• A)It is likely to approve because it is not a concentrated market.
• B)It is unlikely to approve because the post-merger HHI has increased by over 100.
• C)It is likely to approve because the post-merger HHI has increased by over 100.
• D)Likely to approve because the post-merger HHI has increased by less than 5,000.

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Definitions:

Organic Compounds

Organic compounds are chemicals that contain carbon atoms bonded to other elements, primarily hydrogen, and are found in all living organisms.

Organic Compounds

Chemical compounds containing carbon atoms bonded to hydrogen atoms, often along with other elements, essential for life on Earth.

Miller And Urey

Scientists who conducted an experiment in the 1950s demonstrating how organic compounds necessary for life could have arisen from inorganic compounds under early Earth conditions.

Genetic Material

The biological macromolecules or substances in cells that carry genetic information, typically DNA or RNA, essential for inheritance and controlling cell function.