Money market, Microeconomics

Assignment Help:

Money market:

The money market is a market of short-term loans. It consists of financial institutions having surplus fund to lend on short-term basis, and those wishing to borrow. The market allocated savings into investments thereby promoting rational allocation of resources. It also encourages savings and investment habits by promoting liquidity and safety of financial assets. Institutions that operates in the market include the Central Bank, commercial banks, and discount houses.The major short-term instruments associated with the Nigerian money market includes treasury securities, commercial papers, call money, Bankers’ Unit Fund, Banker’ Acceptance, etc.

The capital market on the other hand, is a market for mobilizing long-term funds. It is a market for new issues of securities as well as for trading in existing securities. The major instruments for raising funds in the market include equities, debentures, bonds, and stocks. The main institutions in the capital market are the stock exchange, the issuing houses, and the stock broking firms.


Related Discussions:- Money market

Discuss about modern economic growth, Discuss about Modern economic growth ...

Discuss about Modern economic growth Modern economic growth is also a shift in the kinds of things we do at work and play and in the way we live. Back in immediate aftermath of

Perfect competition, demand: Qd=100=Px supply: MC=10+1/2Qs assume first th...

demand: Qd=100=Px supply: MC=10+1/2Qs assume first that this firm operates in a perfectly competitive market. find the price and quanity in this market.

There is in substitute for a insulin, Commodities that are viewed as luxuri...

Commodities that are viewed as luxuries typically have price elastic demand, and commodities that are requirements have price inelastic demand.  There is easily no substitute for a

Price elasticity of demand, Explain why each of the following factors may i...

Explain why each of the following factors may influence the own price elasticity of demand for a commodity. The narrowness of the definition of the commodity

How change in the exchange rate affect the domestic economy, How might a ch...

How might a change in the exchange rate affect the domestic economy of the country? A change in the exchange rate - ceteris paribus - will alter relative prices between trading

Take a test, I have an online test which needs to be done on 60 min, would ...

I have an online test which needs to be done on 60 min, would this website be able to take it with me? like to be available for 60 min answering the multiple choice questions with

What is gini coefficient, Q. What is Gini Coefficient? Gini Coefficient...

Q. What is Gini Coefficient? Gini Coefficient: A statistical measure of inequality. A Gini score of 0 signifies perfect equality (in which each individual receives the same inc

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd