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Financial Markets Channeling Funds Quick Check

5 of 65 of 6 Items
Question
Which of these displays the function of the financial market?(1 point)
Responses

Saved funds are transferred to borrowers via the sale of newly-issued securities. Companies receive money from selling stocks to investors.
Saved funds are transferred to borrowers via the sale of newly-issued securities. Companies receive money from selling stocks to investors.

interest paid on a saving account
interest paid on a saving account

Receiving bank loans
Receiving bank loans

Providing bank loans

1 answer

The response that best displays the function of the financial market is:

Saved funds are transferred to borrowers via the sale of newly-issued securities. Companies receive money from selling stocks to investors.

This option describes the role of financial markets in channeling funds from savers to borrowers, thereby facilitating investment and economic growth.

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