Question

explain the function of Money market?

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Answer 1

Answer:

The money market provides financing to local and international traders who are in urgent need of short-term funds. It provides a facility to discount bills of exchange, and this provides immediate financing to pay for goods and services.

Answer 2

The money market is the form of market where people can buy money for various activities.

Explanation:

1. The money market can be defined as the source of borrowing financing for the short term.
2. The money market generally includes various investors, financial institutions, and investment dealers who look forward to borrowing or lending money.
3. Money market securities are generally very liquid in nature and can be converted into cash at any moment.
4. Money markets also involve instruments such as bank accounts, certificates of deposits, bank loans, etc.