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Borrowers _______ money to/from the financial system and ______ interest.

a. supply : earn
b. supply : pay
c. demand : earn
d. demand : pay

User Wikier
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1 Answer

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Final answer:

Borrowers demand money to/from the financial system and pay interest. Option d

Step-by-step explanation:

The correct answer to the student's question is: Borrowers demand money to the financial system and pay interest. In the context of financial markets, individuals who borrow money do so because they currently have a need for capital—such as college students needing to pay for their education, or individuals purchasing homes or cars.

These borrowers are looking to the financial markets to acquire the necessary funds. They are considered on the demand side of the financial market, and in return for the borrowed capital, they agree to pay interest on the amount they owe. Option d

User Chakrapani
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