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16 June, 11:09

Financial intermediation can break down as a result of: a. the government's granting property rights. b. bank panics. c. free adjustments of interest rates in the loanable funds market. d. a high saving rate.

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  1. 16 June, 12:14
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    The correct answer is B

    Explanation:

    Financial intermediation is the activity which is needs to be productive and it is an institutional unit, that happen the liabilities on own account for the motive or purpose of acquiring or taking the financial assets through involving in the financial transactions on the market.

    And the financial intermediaries role involve or comprise in funds or money channeling from the lenders to the final borrowers through the intermediating.

    So, the break down will be a result or consequence of the bank panics situation.
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