Question

Financial instruments are sold by surplus units to deficit units

true or false

Answer 1

Explanation:

yah it's true

hope it's help u plz Mark me as brainlist and follow me..

Answer 2

The given statement is true.

Explanation:

• A budget surplus is whilst more money is left over in a price range after charges are paid.
• A price range deficit happens whilst the federal authorities spend extra cash than it collects in revenue.
• A price range surplus is greater useful to authorities.
• The role of moving monetary sources from the excess devices to the deficit devices is what's noted as "Financial Intermediation".
• For example, surplus devices are described as financial devices whose profits exceed spending on items and offerings.
• Conversely, deficit devices are the financial devices whose spending on items and offerings is extra in their profits.
• Monetary establishments lend to deficit devices and borrow from surplus devices by issuing cash to the excess devices.

This system is referred to as monetizing debt, wherein the debt of deficit devices is transformed into cash which is then used in the economy.

#SPJ2