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Q: The primary Economic function of the Financial system is to

  • 1
    Providing experts advice to investors and savers
  • 2
    Match one person's savings with another person's investment
  • 3
    Keeping interest rates low
  • 4
    Match one person's consumpion expenditure with another person's capital expenditure
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Answer : 2. "Match one person's savings with another person's investment"
Explanation :

Answer: B) Match one person's savings with another person's investment Explanation: The primary Economic function of the Financial system is to match one person's savings with another person's investment. As a key component of the financial system, banks allocate funds from savers to borrowers in an efficient manner. They provide specialized financial services, which reduce the cost of obtaining information about both savings and borrowing opportunities. These financial services help to make the overall economy more efficient.

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