What is the purpose of the Federal Deposit Insurance Corporation (FDIC)?
A. To set global oil prices
B. To control the stock market
C. To insure people’s bank deposits
D. To regulate international trade
Answer (2)
The correct answer is letter C. To insure people’s bank depositsThe FDIC was created to protect people’s money in banks. For example, if a bank closes or goes bankrupt, the FDIC makes sure that customers still get back a certain amount of their deposits. This is very important because it helps people trust the banking system. After the Great Depression in the 1930s, many Americans were afraid to keep their money in banks, so the government created the FDIC to give people confidence that their savings would be safe even if something bad happened to the bank.
Answer:C. To insure people's bank deposits.
