Savings and investments R

It is income not used for consumption

• savings

• investment

• financial system

It is the use of income today that allows for a future benefit

• savings

• investment

• financial system

It is all the institutions that help transfer funds between savers and investors

• savings

• investment

• financial system

It is a claim on the property of the borrower

• financial asset

• investment

• financial system

It is where buyers and sellers exchange financial assets

• financial asset

• financial market

• financial intermediary

It is an institution that collects funds from savers and invests the funds in financial assets

• financial asset

• financial market

• financial intermediary

Difference between economic and personal investment?

• Economic investment involves lending money to businesses and personal investment involves putting money in financial assets

• Personal investment involves lending money to businesses and economic investment involves putting money in financial assets

What do all banking financial intermediaries have in common?

• they all take deposits and make loans

• they all take loans and later make deposits

It is an investment company that fathers money from individual investors and purchases a range of financial assets

• bonds

• mutual fund

How does a mutual fund serve as a financial intermediary?

• A mutual fund gathers savings from many savers and invests it in a variety of financial assets

• mutual funds gather loans from many savers and sell them at a high price