Financial Intermediaries Are Able to Act as Delegated Monitors for Individual

question 44

Multiple Choice

Financial intermediaries are able to act as delegated monitors for individual savers because

• A)other investors are unable to gain a free ride on their monitoring efforts.
• B)borrowers consider this role to be traditional for financial intermediaries and are willing to put up with it.
• C)the federal government has granted them waivers from laws protecting privacy.
• D)they employ a vast network of private detectives to carry out their monitoring role.

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Definitions:

Transition

The process or period of changing from one state or condition to another, often used in the context of careers, life stages, or writing.

Similarly

In a like manner or in a way that bears resemblance to another situation, process, or result.

Likewise

In a similar way; also an expression to show agreement with a previous statement or similarity between two contexts.

Compound-complex Sentences

Sentences that contain at least two independent clauses and one or more dependent clauses.