Multiple Choice
Financial intermediaries are able to exploit economies of scale since
A) the equipment or expertise necessary for one transaction can be applied to other transactions.
B) they have special licenses needed to perform financial transactions.
C) financial markets fail to do so.
D) they can reduce transactions costs, but not information costs.
Correct Answer:
Verified
Correct Answer:
Verified
Q41: A firm's net worth is equal to
Q57: Moody's Investors Service is able to make
Q59: Government regulations requiring firms that desire to
Q64: In the 1790s,Treasury Secretary Alexander Hamilton made
Q65: The reduction in average cost resulting from
Q65: One reaction of firms to the adverse
Q67: Lenders may be reluctant to increase the
Q70: What are the information costs faced by
Q76: A firm's principals are its<br>A)shareholders.<br>B)management.<br>C)values.<br>D)customers.
Q90: The free-rider problem faced by private information-collection