Economics Ms. McRoy-Mendell Regulatory Agencies Economics Ms. McRoy-Mendell

“Aim” What is the purpose of regulatory agencies?

Regulatory Agencies What are they? Organizations that are usually a part of the government that oversee different sectors of the economy.

Regulatory Agencies (cont’d) Economics/Finance Agencies: Federal Deposit Insurance Corporation (FDIC): insures bank deposits, approves mergers, and audits banking practices  Federal Reserve System (the Fed): regulates banking; manages the nation’s money supply Securities and Exchange Commission (SEC): administers federal laws concerning the buying and selling of securities “caveat emptor” – let the buyer beware

Regulatory Agencies (cont’d) Consumer Financial Protections Bureau (CFPB): Agency responsible for consumer protection in the financial sector. Its jurisdiction includes banks, credit unions, securities firms,  and other financial companies operating in the United States, and virtual currencies. Internal Revenue Service (IRS): A bureau of the Department of the Treasury. The IRS is responsible for collecting taxes and the administration of the Internal Revenue Code. Financial Industry Regulatory Authority (FINRA): An agency that is part of the SEC which offers regulatory oversight over all securities and brokerage firms that do business with the public It also oversees securities and brokerage firms that offer professional training, testing, and licensing of registered persons, arbitration in NY.  

“Aim” What is the purpose of regulatory agencies?