Chapter 10 & 11 Review

Front

For what purpose was the First Bank of the United States created?

Back

issue a national currency, control the money supply, and lend money

Front

From 1836 to 1863, there was no national oversight of banking. What was the result?

Back

financial panics and economic instability

Front

What did the National Banking Act of 1863 set up?

Back

a system of national banks and a national currency

Front

What is the purpose of the Federal Reserve System?

Back

to make loans to banks, issue currency, and regulate the money supply

Front

The two original purposes of savings and loans were to take savings deposits and provide

Back

home mortgage loans

Front

A mortgage allows a consumer to

Back

purchase a house without paying the whole value up front

Front

A major result of bank deregulation in the 1980s and 1990s was hundreds of bank mergers.

Back

bank mergers

Front

Automatic teller machines let customers

Back

deposit and withdraw funds at locations other than the bank

Front

The difference between credit cards and debit cards is that

Back

credit cards are loans, while debit cards are withdrawals of existing funds

Front

The term electronic banking generally refers to the use of

Back

the Internet and computers to do bank transactions at home