The impact of financial intermediation on well-being: the relationship of finance with social progress

this article is devoted to the study of the role of financial intermediation in shaping the welfare of society and its impact on social progress. In the context of globalization and digitalization of the economy, financial intermediaries play a key role in redistributing resources, providing access to capital and reducing information asymmetry between market participants. The paper examines the theoretical and empirical aspects of the functioning of financial intermediaries, including banks, insurance companies, investment funds and other institutions, as well as their contribution to improving the standard of living of the population and sustainable economic development. Special attention is paid to the analysis of the mechanisms through which financial intermediation affects well-being.: These are the availability of credit resources for small and medium-sized businesses, the development of financial literacy among the population, reducing poverty and inequality, as well as stimulating innovation and technological progress. The article presents the results of an econometric analysis based on data from international and national statistical sources, which confirm a positive correlation between the level of development of the financial sector and indicators of public well-being.

financial intermediation, welfare, social progress, financial system, economic development, access to finance, investment, social inequality, sustainable development, financial literacy