Question: 1.Why do financial intermediaries exist? What services do they provide to the public? Are all financial institutions financial intermediaries? 2. What is a depository institution?

1.Why do financial intermediaries exist? What services do they provide to the public? Are all financial institutions financial intermediaries?

2. What is a depository institution? How does a depository institution differ from other intermediaries? Give three examples of depository institutions.

3. What are the functions of money? Which function do you think is most important?

4. Distinguish between primary and secondary markets and between money and capital markets.

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