Asked by Katelyn Sauber on Jul 02, 2024

The main purpose of an economy's financial system is to facilitate the transfer of funds from:

A) financial middlemen to financial intermediaries.
B) consumer savers to business investors.
C) primary claimholders to secondary claimholders.
D) lenders to financial intermediaries.

Consumer Savers

Individuals or entities that prioritize saving over spending, often seeking to maximize their financial well-being and future security.

Financial System

An intricate network of financial institutions, markets, and instruments that facilitate the exchange of funds and allocation of resources in an economy.

Business Investors

Individuals or entities that allocate capital with the expectation of receiving financial returns, typically into companies or projects.

  • Learn about the various categories of markets and their operations within the financial ecosystem.