Deposit Insurance Only Seems to Be Viable at the Federal

Multiple Choice

Deposit insurance only seems to be viable at the federal level.This is likely due to the fact that:

A) Only a few state funds are large enough to withstand a run on all banks they insure
B) A run on the banks within a state will always spread countrywide
C) The U.S.Treasury backs the FDIC and can therefore withstand virtually any crisis
D) The cost of state insurance is prohibitively high