Which of the following is NOT a responsibility of the FDIC?

The correct choice identifies "Setting interest rates" as a responsibility that does not fall under the FDIC's mandate. The Federal Deposit Insurance Corporation (FDIC) is primarily focused on protecting depositors by insuring bank deposits, which helps to maintain public confidence in the banking system. Additionally, the FDIC conducts bank examinations to ensure that financial institutions operate safely and soundly, assessing their financial health and compliance with banking regulations. Furthermore, monitoring the health of financial institutions is an integral part of the FDIC's role, as it ensures that banks are functioning properly and are able to meet their obligations to depositors.

In contrast, setting interest rates is a function typically associated with a different entity, the Federal Reserve, which is responsible for monetary policy in the United States. The Federal Reserve sets benchmark interest rates that influence economic activity and can affect borrowing and lending practices across the banking system. This distinction is crucial in understanding the different roles that these organizations play in the financial landscape.