Question: im lost What are the three basic ways financial capital is channeled from Net Savers to Productive Project Investors (see instructor's chart in the powerpoint

What are the three basic ways financial capital is channeled from "Net Savers" to "Productive Project Investors" (see instructor's chart in the powerpoint file)? - The Capital Allocation Process Through the Financial Markets $$ Financial Intermediaries Indirect Transfers $$ Productive Project Investors Net Savers Depository Institution Contractul Savings rute Investment Intermediaries Investment Banka France Service Carpe Central Baniu Businesses Governments Households Businesses Governments Foreigners Households Foreigners 55 Duruct Transfers Car fre Cow Growth and o Through Financial Intermediaries Through Investment Banks Directly from Net Savers to Productive Project Investors O . . Direct Transfers. Productive Project Investors purchase financial securities from Net Savers. Indirectly. Productive Project Investors purchase securities through Financial Intermediaries Overhead-Net Savers provide capital to Productive Project Investors without using Financial Intermediaries and without providing capital directly. . . Direct Transfers. Net Savers purchase financial securities directly from Productive Project Investors. Indirectly through Financial Intermediaries ("F.ls"): Net Savers purchase securities issued by F.ls, and Fils purchase securities issued by Productive Project Investors. Investment Banks purchase/underwrite securities issued by Productive Project Investors, then sell those securities to Els and/or Net Savers
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
