Financial Intermediaries Handle a Larger Flow of Funds Than Do

question 114

Multiple Choice

Financial intermediaries handle a larger flow of funds than do primary markets primarily because financial intermediaries:

• A) have a government-provided monopoly.
• B) have government-regulated prices, so there is little competition.
• C) can lower transaction costs and increase liquidity for savers.
• D) do not have to worry about information asymmetry.

Identify the advantages and disadvantages of specific renewable energy sources.

Understand the principles and applications of solar energy, including photovoltaic cells and passive solar heating.

Grasp the concept and operational methods of hydroelectric power and pumped-storage hydropower systems.

Recognize the environmental impacts and sustainability concerns associated with renewable energy sources.

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Definitions:

Actor-Observer Bias

A cognitive bias that involves attributing one's own actions to external factors while attributing others' actions to their character or personality.

Self-Serving Bias

A cognitive bias where people attribute positive outcomes to their own actions and negative outcomes to external factors.

Basketball Game

A team sport involving two teams of five players each, aiming to score points by shooting a ball through an opponent's hoop.

Fundamental Attribution Error

The tendency to overestimate the influence of personality and underestimate the influence of situational factors when evaluating others' behaviors.