The smaller the typical depositor at a financial institution, the __________ likely that some of the institution's deposits are federally insured and thus the __________ heavily that institution tends to be regulated.

Question

Quizplus · Accepted Answer

The smaller the typical depositor, the more likely that the deposits are federally insured, as there are limits to how much is insured per depositor. This leads to heavier regulation to protect these insured deposits.

The Smaller the Typical Depositor at a Financial Institution, the __________