Which of the Following Is a Role of a Financial

question 222

Multiple Choice

Which of the following is a role of a financial intermediary?

• A) Increasing risk to lenders
• B) Combining a large number of loans of small borrowers into a small number of deposits of large savers
• C) Decreasing liquidity for savers
• D) Reducing risk to depositors
• E) Increasing interest rates for both borrowers and lenders.

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Definitions:

Sick Role

A concept that describes the social expectations and behavior of an individual who is recognized as ill and the exemption from certain social roles and responsibilities.

Parsons' Concept

A sociological theory proposed by Talcott Parsons that views illness as a form of deviance that disturbs the social function, necessitating the role of the "sick person" to seek professional help to return to health.

Weaknesses

Areas where an individual or entity lacks strength or expertise, potentially hindering success or performance.

Witchdoctors

Traditional healers or practitioners of healing in certain cultures, often using herbal remedies, rituals, and spiritual beliefs to treat illnesses or solve problems.