Which of the following was a result of the Depository Institutions Deregulation and Monetary Control Act of 1980 (DIDMCA) ?

A) All checkable deposits,whether at commercial banks,savings banks,savings and loan associations,or credit unions will have the same reserve requirements.
B) The Fed has the power to change the reserve requirement on checkable deposits at commercial banks but not credit unions.
C) The Fed has the power to set the reserve requirement on checkable deposits at credit unions,but once set,the reserve requirement cannot be changed for two years.
D) Commercial and savings banks are regulated by the Fed,but credit unions and state banks are not subject to regulations,but must pay dues to the FeD.
E) Credit unions and state banks must abide by Fed reserve requirements,but are denied access to borrowing at the discount window.

Question

Sharelle Roberson · Accepted Answer

Final Answer : A, Explanation :  DIDMCA established uniform reserve requirements for all depository institutions, regardless of type or location, resulting in all checkable deposits having the same reserve requirements.

Definitions

Learning Objectives

Learning Objectives

Related questions