Investing contributes to economic growth in which of the following ways? Investor funds are loaned to firms, who use borrowed funds to purchase capital. Investors pool their funds into financial intermediaries that earn them larger returns. Investors diversify their portfolios to minimize risk in the economy. Investors earn returns on their investments, which increases their economic well-being.
Investing contributes to economic growth in which of the following ways? Investor funds are loaned to firms, who use borrowed funds to purchase capital. Investors pool their funds into financial intermediaries that earn them larger returns. Investors diversify their portfolios to minimize risk in the economy. Investors earn returns on their investments, which increases their economic well-being.
Chapter16: Interest, Rent, And Profit
Section: Chapter Questions
Problem 3QP
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Investing contributes to economic growth in which of the following ways?
-
Investor funds are loaned to firms, who use borrowed funds to purchase capital.
-
Investors pool their funds into financial intermediaries that earn them larger returns.
-
Investors diversify their portfolios to minimize risk in the economy.
-
Investors earn
returns on their investments , which increases their economic well-being.
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