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Function of Money Markets
The money markets are the place where money is "wholesaled". As such the supply of money and interest rate which are of significance to the whole economy is determined there.
It is also used by the central bank to make its monetary policy effective.
Custodian of Member Banks Cash Reserves As bankers bank the central bank performs several function. It keeps the cash reserves of commercial banks in the economy and thus acts
explain the cyert and march theory of firm
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