Financial intermediaries may not significantly impact the volatility of economic growth. A study analyzed data from 63 countries between 1960-1997 and found that well-developed financial intermediaries do not consistently reduce or increase growth volatility. While they may lessen the impact of real sector shocks, they could amplify the effects of monetary shocks, particularly in low- and middle-income countries. Overall, the relationship between financial intermediary development and growth volatility is not straightforward.