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slega [8]
4 years ago
11

What is one way that financial institutions benefit the economy?

Business
2 answers:
Damm [24]4 years ago
7 0

Answer:

B

Explanation:

got it right on test and it make sense:)

olga_2 [115]4 years ago
4 0

Answer:

By providing loans so people can open businesses

Explanation:

Financial institutions act as intermediaries between the source and users of credit.  By accepting deposits from the general public, financial institutions pool together resources that firms and individuals can borrow to start or expand their business.

Financial institutions include commercial banks, saving and credit unions, among others. They offer credit services to clients from the customers' deposits. The loans help individuals and firms start and grow their business, which leads to growth in the entire economy.

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