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Non-bank financial intermediaries do not?


Question

Non-bank financial intermediaries do not?

Options

A)
provide credit facilities
B)
accept deposits
C)
accept demand deposits
D)
sell shares

The correct answer is C.

Explanation:

This Economics question is asking about the characteristics of non-bank financial intermediaries. Non-bank financial intermediaries are organizations that provide financial services but are not banks. The question is asking which of the options is not a characteristic of non-bank financial intermediaries.

Option A says that non-bank financial intermediaries do not provide credit facilities. This statement is incorrect because non-bank financial intermediaries do provide credit facilities. Therefore, Option A is not the correct answer.

Option B says that non-bank financial intermediaries do not accept deposits. This statement is also incorrect because non-bank financial intermediaries do accept deposits. Therefore, Option B is not the correct answer.

Option C says that non-bank financial intermediaries do not accept demand deposits. This statement is correct because non-bank financial intermediaries do not accept demand deposits. Demand deposits are deposits that can be withdrawn immediately by the depositor, and non-bank financial intermediaries do not provide this service. Therefore, Option C is the correct answer.

Option D says that non-bank financial intermediaries do not sell shares. This statement is incorrect because non-bank financial intermediaries do sell shares. Therefore, Option D is not the correct answer.

In summary, the correct answer to this question is Option C: non-bank financial intermediaries do not accept demand deposits. It is important to understand the characteristics of non-bank financial intermediaries as they play an important role in the financial system.


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