Intermediation in the financial system is the process of:
A) bringing together buyers and sellers in a market.
B) negotiating terms of repayment when agreements between buyers and sellers are in default.
C) government intervention in a financial market.
D) an arbitrator working with governments and private firms to create efficiency.

Question

Quizplus · Accepted Answer

Intermediation involves connecting buyers and sellers in a financial market, such as a bank acting as an intermediary between depositors (buyers) and borrowers (sellers) by accepting deposits and lending out the money to borrowers.

Intermediation in the Financial System Is the Process Of