Question

Deposit insurance in the United States is primarily managed by the Federal Reserve.

(True/False)

Answer 1

Deposit insurance in the United States is primarily managed by the Federal Deposit Insurance Corporation (FDIC), not the Federal Reserve.

Step-by-step explanation:

False

Deposit insurance in the United States is primarily managed by the Federal Deposit Insurance Corporation (FDIC), not the Federal Reserve. The FDIC is responsible for collecting deposit insurance premiums from banks and guaranteeing bank deposits up to $250,000. The Federal Reserve, on the other hand, plays a role in bank supervision and has authority over policies such as the amount of money the government should print.