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.
Correct Answer:
Verified
Q12: Privately-owned firms that accept deposits from individuals
Q13: The interest rate promised when a bond
Q14: The principal amount of a bond is
Q15: Savers may prefer to use financial intermediaries
Q16: The coupon rate is the:
A)amount originally lent.
B)regular
Q18: In the United States saving is allocated
Q19: The specialized information-gathering activities that banks use
Q20: Financial intermediaries, such as commercial banks, provide
Q21: Pat pays $10,000 for a newly issued
Q22: Shares of stock are:
A)legal promises to repay
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