Essence of the inter mediation process

Assignment Help Business Economics
Reference no: EM132592681

Current financial inter mediation theory builds on the notion that intermediaries serve to reduce transaction costs and informational asymmetries. As developments in information technology, deregulation, deepening of financial markets, etc. tend to reduce transaction costs and informational asymmetries, financial inter mediation theory shall come to the conclusion that inter mediation becomes useless.

Required:

a) Do you agree? Support your arguments

b) When information asymmetries are not the driving force behind inter mediation activity and their elimination is not the commercial motive for financial intermediaries, then which paradigm, as an alternative, could better express the essence of the inter mediation process? Your discussion should highlight on which forces really drive the financial inter mediation process in this context.

Reference no: EM132592681

Questions Cloud

Incorporating the concepts of critical thinking : Objective, final synthesis, incorporating the concepts of critical thinking into our daily lives and into our lives as health care professionals.
How many months has Sassy Corp owned the truck : The truck has been estimated to have a useful life of six years with no salvage value. How many months has Sassy Corp. owned the truck
Reflect on what informs your judgment : Reflect on what informs your judgment: commitment to advance care planning, analysis of facts, and/or political party loyalties?
What is the bond coupon rate for riverhawk promotions : The bond has 4.5 years to maturity, pays interest semiannually, and has a yield to maturity of 9.47%. What is the bond's coupon rate?
Essence of the inter mediation process : Current financial inter mediation theory builds on the notion that intermediaries serve to reduce transaction costs and informational asymmetries.
Benefits of an IT solution to manage : Create a consultative report that addresses the data requirements of the proposed Royal Rundle Hospital (RRH) System as well as commenting
Evaluate two proposed alternative regarding the insulin pump : Evaluate the two proposed alternatives regarding the insulin pump by providing NPV, IRR, MIRR, PAYBACK, DISCOUNTED PAYBACK, AND PI.
What amount will be in the investment fund on December : If Vannoy will earn 12% on the investment, what amount will be in the investment fund on December 31, 2019
Preparing strategy report for senior management : Preparing a strategy report for senior management the new production process for the protein named Etanercept.

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd