Question

Banks and other financial institutions _________. a. often hinder economic activity by creating barriers between household savers and firms wanting to invest in capital goods.b. are the primary investors in equipment, factories, and other capital goods.c. lack relevance in the modern economy because they focus primarily on financial assets and generally do not engage in real investment activity.d. promote economic growth by helping to direct household savings to businesses that want to invest.

Answer 1

d. promote economic growth by helping to direct household savings to businesses that want to invest.

Step-by-step explanation:

• Banks are the financial institution that helps promote the growth of the economy by the allocation of the funds and the distribution of economic resources and there contribute directly to the nation's GDP and are an essential part of the savings and the investment for businessmen.