Money and credit - Ivanov V.М.

<< Contents <Prev Next>

7.2. The main components of the money market

The money market has a complex functioning mechanism. Its subjects are:

• commercial banks;

• accounting houses;

• broker and dealer companies.

The object of purchase and sale on the money market is temporarily free cash.

Instruments of the money market are commercial bills, certificates of deposit, bank acceptances, etc.

The price of "goods" (money), which is sold and bought on the market, is the loan interest. The level of interest in the money market is the basis for determining the interest on the entire loan capital market. From the economic point of view, the interconnection of such concepts occurs in the money market:

• money supply;

• income;

• rate of interest.

The main borrowers: firms, credit and financial institutions, the state, the population.

<< Contents <Prev Next>

Liked? Subscribe to RSS news!
You can also support shram.kiev.ua, press:

It will not be superfluous for your friends to learn this information, share their article with them!

Expand / Collapse

Comments

When commenting on, remember that the content and tone of your message can hurt the feelings of real people, show respect and tolerance to your interlocutors even if you do not share their opinion, your behavior in the conditions of freedom of expression and anonymity provided by the Internet, changes Not only virtual, but also the real world. All comments are hidden from the index, spam is controlled.