Question

Which regulatory body is responsible for enforcing the principles of the National Credit Code?

a) Federal Reserve
b) Consumer Financial Protection Bureau
c) Australian Securities and Investments Commission (ASIC)
d) European Central Bank

Answer 1

The Australian Securities and Investments Commission (ASIC) is responsible for enforcing the principles of the National Credit Code, not the Federal Reserve or other central banks like the European Central Bank.

Step-by-step explanation:

The regulatory body responsible for enforcing the principles of the National Credit Code is the Australian Securities and Investments Commission (ASIC). Unlike the Federal Reserve, which is the central bank of the United States and responsible for regulating the monetary policy and financial system in the U.S., ASIC's role is focused within Australia, ensuring that financial firms comply with the credit laws designed to protect consumers. Central banks such as the European Central Bank, the Bank of Japan, and the Bank of England have similar roles to the Federal Reserve, but they operate within different jurisdictions and are not involved with the National Credit Code, which is specific to Australia.