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Small Savers Prefer to Use Financial Intermediaries Rather Than Make

Question 78

Multiple Choice

Small savers prefer to use financial intermediaries rather than make loans to borrowers directly because


A) savers prefer to share risk.
B) financial intermediaries offer higher interest rates than could be obtained directly from borrowers.
C) savers reduce their tax liability by doing so.
D) borrowers dislike dealing with small savers.

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