Who benefits from the process of financial intermediation?
A. both savers and borrowers
B. borrowers only
C. savers only
D. There is no benefit, because money does not create wealth.
Answer: A
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The price of a basket of goods and services in the U.S. is $600 . In Canada the same basket of goods costs 700 Canadian dollars. If the nominal exchange rate were 1.2 Canadian dollars per U.S. dollar, what would be the real exchange rate?
a. 700/600 b. 600/700 c. 700/720 d. None of the above is correct.
The Sherman Antitrust Act specifically prohibited tying contracts and interlocking directorates.
Answer the following statement true (T) or false (F)
From 1980 to 2000, the yen-dollar exchange rate fell from 240 yen/dollar to 102 yen/dollar, while the dollar-pound exchange rate fell from 2.22 dollars/pound to 1.62 dollars/pound. As a result
A. the dollar appreciated relative to both the yen and the pound. B. the dollar depreciated relative to the yen, but appreciated relative to the pound. C. the dollar depreciated relative to both the yen and the pound. D. the dollar appreciated relative to the yen, but depreciated relative to the pound.
The purchase of a virtual item from an online company with a virtual currency causes the nation's:
a. Monetary base to fall. b. M2 money supply to fall. c. M2 money multiplier to fall. d. Monetary base to remain the same.