Exam 10: Banking Industry: Structure and Competition

Credit unions are usually ________.

Loophole mining refers to financial innovation designed to ________.

The government institution that has responsibility for the amount of money and credit supplied in the economy as a whole is the ________.

Describe the financial innovations that were stimulated as a response to branching restrictions in the U.S.?

An essential characteristic of credit unions is that ________.

Uncertainty about interest-rate movements and returns is called ________.

New computer technology has ________.

Describe the characteristics of cooperative banks: credit unions and caisses populaires.

Eurodollars are ________.

The spectacular growth in international banking can be explained by ________.

The regulatory system that permitted the organization of a bank by any group that met certain criteria is known as a ________.

An instrument developed to help investors and institutions hedge interest-rate risk is ________.

The six largest chartered banks in Canada together hold ________ of the assets in the industry.

The U.S. banking system is considered to be a dual system because ________.

Canadian banks have most of their foreign branches in ________.

A disadvantage of virtual banks (clicks) is that ________.

Lack of competition in the United States banking industry can be attributed to ________.

The development of money market mutual funds contributed to the growth of ________ since the money market mutual funds need to hold liquid, high-quality, short-terms assets.

Prior to 1980, the Fed set an interest rate ________ that is a maximum limit on the interest rate that could be paid on time deposits.

Merger review policy within the 2001 Bank Act Reform acknowledges that ________.