Question

1. Commercial banks and stock exchanges are playing an increasing role in the Chinese economy with, for instance, more of the Chinese labour force being employed in the financial sector. (a) Describe the functions of a commercial bank. [4] (b) Explain how a stock exchange can play a key role in an economy. [4] (c) Analyse the differences in earnings between different groups of workers.[6] (d) Discuss whether high income earners will always save more than low income earners.

Answer 1

Answer:

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Explanation:

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