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Banks are described as a critical intermediary in what is called the:
APayment system
BTaxation system
CEducation system
DTransport system
Answer & Solution
Correct answer: A. Payment system
1. Banks do more than hold deposits.
2. Banks stand between savers and borrowers.
3. Banks are a critical intermediary in what we call the payment system.
4. That system helps an economy exchange goods and services for money.
_Source: OpenStax Principles of Macroeconomics for AP Courses 2e (CC BY 4.0), Ch 13 'Money and Banking'_
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