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Question
which is the correct order of entities that benefit when banks make a profit? employees, shareholders, and the economy shareholders, shoppers, and the economy employees, companies, and the economy shareholders, companies, and the economy
When banks make a profit, shareholders (who own bank stock) benefit first via dividends/value growth. Profitable banks can lend more to companies (aiding their growth/operations). Finally, a healthy banking - company ecosystem boosts the overall economy. Other options have mismatches: employees aren't the first beneficiaries, shoppers don't directly benefit from bank profits in this chain, and the "employees, companies" order is incorrect as bank profit's primary initial benefit is to shareholders.
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D. shareholders, companies, and the economy