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The Money Market- Macroeconomics 4.6
In this video I explain the money market graph with the the demand and supply of money. The graph is used to show the idea of monetary policy and how ...
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The interbank lending market is a market in which banks extend loans to one another for a specified term. Most interbank loans are for maturities of one week or less, the majority being overnight. Such loans are made at the interbank rate (also called the overnight rate if the term of the loan is overnight). A sharp decline in transaction volume in this market was a major contributing factor ...
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Money markets serve five functions—to finance trade, finance industry, invest profitably, enhance commercial banks' self-sufficiency, and lubricate central bank policies.. Financing trade. The money market plays crucial role in financing domestic and international trade.Commercial finance is made available to the traders through bills of exchange, which are discounted by the bill market.
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