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Financial Systems in Market Economies Improve the Allocation of Saving

Question 17

Multiple Choice

Financial systems in market economies improve the allocation of saving in each of the following ways EXCEPT by:


A) providing information about which potential use of funds will be most productive.
B) helping savers to share the risk of individual investment projects.
C) evaluating the potential productivity of alternative capital investments.
D) allowing potential favoritism to determine which projects are funded.

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