Which of the Following Is Not One of the Eight

question 61

Multiple Choice

Which of the following is not one of the eight basic puzzles about financial structure?

• A) Stocks are the most important source of finance for American businesses.
• B) Issuing marketable securities is not the primary way businesses finance their operations.
• C) Indirect finance, which involves the activities of financial intermediaries, is many times more important than direct finance, in which businesses raise funds directly from lenders in financial markets.
• D) Banks are the most important source of external funds to finance businesses.

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Definitions:

Demographic Data

Information related to the characteristics of populations, such as age, race, sex, income level, and employment, widely used in research and policy making.

Total Fertility Rate

The average number of children a woman is expected to have over her lifetime, a key demographic indicator of population growth.

Life Expectancy

Life expectancy is the average number of years that a group of individuals of the same age is expected to live, based on current mortality statistics.

Population Growth

The increase in the number of individuals in a population due to births outpacing deaths or through migration.