Question: Explain why banks, which would seem to have a comparative advantage in gathering information, have not eliminated the need for the money markets. Explain how

Explain why banks, which would seem to have a comparative advantage

Explain why banks, which would seem to have a comparative advantage in gathering information, have not eliminated the need for the money markets. Explain how the Federal Reserve can influence the federal funds interest rate. Explain why the money markets are referred to as wholesale markets. Explain why money market interest rates move so closely together over time. 2. 3. 5. How are Treasury bills sold? How do competitive and noncompetitive bids differ? 6. What are the main characteristics of money market securities? 7. What are the major types of securities and who are the major participants in the money markets

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