An institutional arrangement in which federal and state authorities both have significant bank regulatory powers is referred to as:

Question

Quizplus · Accepted Answer

The dual banking system is an institutional arrangement in which both federal and state authorities are given significant bank regulatory powers. Under this system, banks can choose to be chartered either at the federal or at the state level, subject to the respective regulatory authority. This creates a decentralized regulatory system, with some banks being regulated by federal authorities and others by state authorities.

An Institutional Arrangement in Which Federal and State Authorities Both