Having multiple entities responsible for issuing bank charters in the United States has given rise to the problem of

Question

Quizplus · Accepted Answer

The existence of multiple entities responsible for issuing bank charters in the United States allows banks to choose the most lenient regulator, leading to the problem of "regulator shopping." This can result in banks selecting the regulatory body that offers the most favorable conditions, potentially undermining the effectiveness of financial regulation.

Having Multiple Entities Responsible for Issuing Bank Charters in the United