ECONOMICS
FINANCIAL MARKETS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Involve the movement of huge quantities of money
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Affect the profit of business
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Affect the type of goods and services produced in an economy
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All of the above
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Detailed explanation-1: -Financial markets refer broadly to any marketplace where the trading of securities occurs, including the stock market, bond market, forex market, and derivatives market, among others. Financial markets are vital to the smooth operation of capitalist economies.
Detailed explanation-2: -The 4 types of financial markets are currency markets, money markets, derivative markets, and capital markets. Capital markets are used to sell equities (stocks), debt securities.
Detailed explanation-3: -The major categories of financial institutions are central banks, retail and commercial banks, internet banks, credit unions, savings and loan associations, investment banks and companies, brokerage firms, insurance companies, and mortgage companies.
Detailed explanation-4: -Stock market. The stock market trades shares of ownership of public companies. Bond market. Commodities market. Derivatives market. 20-Feb-2023