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Questions and Answers
Which participant in the investment process is generally a net supplier of funds?
Which participant in the investment process is generally a net supplier of funds?
- Financial institutions
- Governments
- Households (correct)
- Businesses
How do governments typically raise additional funds in the investment process?
How do governments typically raise additional funds in the investment process?
- Issuing bonds and debt securities (correct)
- Pooling resources of savers
- Using financial institutions as intermediaries
- Trading financial assets in the market
What role do financial institutions play in the investment process?
What role do financial institutions play in the investment process?
- Issuing debt securities
- Making loans and investing in securities (correct)
- Trading financial assets in the market
- Pooling resources of savers
In the investment process, who are generally net demanders of funds?
In the investment process, who are generally net demanders of funds?
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