Disintermediation refers to the

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Disintermediation refers to the movement of savers and borrowers from traditional financial intermediaries, such as banks, to financial markets. This can occur when savers seek higher returns than what is offered by traditional intermediaries or when borrowers can access funding at lower costs through financial markets. It is not necessarily a failure of financial intermediaries due to adverse selection or moral hazard problems, nor does it involve the removal of government regulations of financial intermediaries.

Disintermediation Refers to the