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Direct finance involves the sale to of marketable securities such as stocks and bonds households insurance companies pension funds financial intermediaries Regulation

1) Direct finance involves the sale to ________ of marketable securities such as stocks and bonds.

A) households

B) insurance companies

C) pension funds

D) financial intermediaries

2) Regulation of the financial system

A) occurs only in the United States.

B) protects the jobs of employees of financial institutions.

C) protects the wealth of owners of financial institutions.

D) ensures the stability of the financial system.

3) One purpose of regulation of financial markets is to

A) limit the profits of financial institutions.

B) increase competition among financial institutions.

C) promote the provision of information to shareholders, depositors and the public.

D) guarantee that the maximum rates of interest are paid on deposits.

4) Property that is pledged to the lender in the event that a borrower cannot make his or her debt payment is called

A) collateral.

B) points.

C) interest.

D) good faith money.

Jun 17 2020 View more View Less

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