If the FDIC decides that a bank is too big to fail,it will use the ________ method,effectively ensuring that ________ depositors will suffer losses.

Question

Quizplus · Accepted Answer

The FDIC uses the purchase and assumption method for banks it deems too big to fail, ensuring that no depositors suffer losses. This method involves finding a healthier institution to assume the failing bank's deposits and most of its assets, protecting depositors from losing their money.

If the FDIC Decides That a Bank Is Too Big