Understanding the Securities and Exchange Commission

The video explains the role and structure of the Securities and Exchange Commission (SEC), an agency responsible for administering securities laws. It discusses the appointment of commissioners, the primary areas of focus, and the dual quasi-legislative and quasi-executive functions of the SEC. The SEC creates regulations to implement statutory provisions and enforces these laws through investigations and legal actions, often in collaboration with the Department of Justice.

What is the primary role of the SEC?

• To oversee banking operations

• To administer securities laws

• To regulate international trade

• To manage corporate mergers

Who appoints the commissioners of the SEC?

• The Federal Reserve

• The Supreme Court

• The President

• The Senate

What is an example of a law that the SEC creates regulations for?

• The 1933 Securities Act

• The Banking Act of 1935

• The Federal Reserve Act

• The Trade Expansion Act

Which of the following is a quasi-executive function of the SEC?

• Issuing currency

• Drafting new laws

• Investigating securities violations

• Setting interest rates

With which department can the SEC collaborate to enforce criminal actions?

• Department of Justice

• Department of Health

• Department of Defense

• Department of Education