Financial Markets and Institutions
What is financial system? Explain the functions performed by financial system.
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Financial Market and Institutions
What functions do central banks perform in a market oriented economy? Explain why each is important to the efficient functioning of the financial and economic system.
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Financial Market and Institution
What is financial market? Explain the role played by the financial market for thedevelopment
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Financial Markets and Institutions
Identity whether the following statements are “True” or “False”. Support your answer with reason.
[5 x 2 = 10]a.DBUs and SBUs always have some contact with each other in financial market. b.Depository institutions create money when they lend or invest excess reserves.c.Secondary markets are important because they provide funds directly to DBUs.d.Open market operations are the primary tool of monetary policy today.e.Commercial banks in Nepal act only as financial intermediaries
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