Which type of institution is responsible for providing liquidity to the financial system?
A) Banks
B) Stock exchanges
C) Insurance companies
D) All of these institutions provide liquidity to the financial system.

Question

Quizplus · Accepted Answer

Banks, stock exchanges, and insurance companies all play a role in providing liquidity to the financial system. Banks offer loans and credit, stock exchanges facilitate the buying and selling of securities, and insurance companies invest premiums in various assets, all contributing to the overall liquidity in the financial system.

Which Type of Institution Is Responsible for Providing Liquidity to the Financial