11
QuizMultiple Choice

The Great Depression and the New Deal

Question 11 • OK-Oklahoma History -CA- 37411A

Created by President Roosevelt’s New Deal legislation, what is the primary purpose of the Federal Deposit Insurance Corporation (FDIC)?

Answer
A
to insure bank customers’ collateral goods are not seized by banks illegally
B
to guarantee that bank customers insure their stock market investments
C
to make sure that bank customers’ accounts are secure even if the bank fails
D
to insure that banks distribute money only to the most reliable customers

Explanation

The FDIC was created to protect depositors by insuring money held in eligible bank accounts, up to legal limits. If an insured bank fails, customers can recover their insured deposits. Therefore, the correct choice is that bank customers’ accounts are secure even if the bank fails.

AI-written and checked against the verified answer.

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