1) ________ of a foreign bank operates in the U.S. but cannot accept deposits from domestic residents.
A) An agency office
B) A universal corporation
C) A McFadden corporation
D) A Basel branch
2) If a foreign bank operates a subsidiary bank in the U.S., the subsidiary bank is
A) subject to the same regulations as a U.S. owned bank.
B) only subject to the regulations of the country in which the foreign bank is chartered.
C) restricted to making loans to only foreign citizens in the U.S.
D) restricted to accepting deposits from foreign citizens living in the U.S.
3) Since the passage of the International Banking Act of 1978, the competitive advantage enjoyed by foreign banks in the U.S. has been
A) reduced.
B) mildly expanded.
C) completely eliminated.
D) greatly expanded.
4) Discuss three ways in which U.S. banks can become involved in international banking.