Many states had their own insurance fund to protect depositors.One problem with these state funds is:
A) They are monopolies in their own state and extract extremely high prices for the insurance they provide
B) They are highly inefficient they cannot achieve the economies of scale a federal fund can achieve
C) They do not have regulators as knowledgeable as the regulators at FDIC
D) No state fund is large enough to withstand a run on all of the banks it insures
Correct Answer:
Verified
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