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Author Question: Financial intermediaries reduce risk by A) investing in a large number of projects with ... (Read 31 times)

nummyann

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on: Jun 30, 2018
Financial intermediaries reduce risk by
 
  A) investing in a large number of projects with independent returns.
  B) gaining expertise in evaluating and monitoring investments.
  C) investing in a small number of projects with independent returns.
  D) limiting the diversity of their investment portfolios.

Question 2

The quantity of money demanded is proportional to
 
  A) real GDP.
  B) the price level.
  C) the nominal interest rate.
  D) the real interest rate.
  E) the inflation rate.


Bigfoot1984

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Reply #1 on: Jun 30, 2018
Answer to Question 1

A

Answer to Question 2

B


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