5. Money, foreign exchange, finance * FINANCE
Name: Karla Yuritzi Flores Linares
Nua: 778081
After watching the video, answer the following questions in complete sentences.
1.What is Finance?
Set of activities that are related to money.
2.What is Financial System?
Sets of institutions (financial and government entities), media (financial assets) and markets that make it possible for the savings (idle money) of some economic agents to go to the hands of credit applicants
3.What are the functions of a financial system?
It serves to mediate between those who have excess money and want to lend it, and those who need financing. In other words, what the financial system generates are credits. A very important actor within the financial system is the banks, which act as intermediaries between those who have excess money and those who need it. In addition, they facilitate the conditions for both parties.
4.How are the main types of financial institutions categorized? Describe each one.
*regulatory : regulate different areas that used the financial sistem economic.
*intermediaries : There is a connection between institutions and people who want to save or invest, for example the banks
*non-intermediaries: they work with money from themselves and not from the savers.
*others: especial organizations.
5.Which are the main classes of financial instruments issued in a financial system? Describe them in detail.
delivery instruments: permit to evalue that have stocks, bonds, currencies,
cash instruments: instrument to value directly the condition of the markets.
foreign exchange instruments: evaluate the foreign market, where they evaluate the behavior of money.
6.What are the distinctions between various types of financial markets according to their function? Explain them.
*money and capital markets: differences that exist between periods of financial securities issued in the market
*primary and secundary markets: the primary is for new financial securities and the secondary takes care of existing securities.
7.What does the “flow of funds” refer to? Explain in detail.
Are a system of interrelated balances for a nation, calculated periodically
8.Write a final reflection on the topic, mentioning what were the most important aspects you learned.
Everything that encompasses the financial issue is interesting, the information provided seemed relevant to me since it seems important that society understands these issues and has more financial culture, in this way we can understand a little more how this world is managed than how is that it affects us or benefits us.
I consider that this topic was very complicated and tedious, but I liked your answers and I agree with some of them, I would only add in point 7 that money is tracked between the different industries and sectors of the nation, but still your answer is understandable ;)
ResponderBorrarExcellent definitions of finance, and very good content, we share some ideas. I was glad to know what you think about this topic.
ResponderBorrarquestion 3 about the functions of a financial system, I agree, mainly is its operation, giving credits in exchange for interest, where both investors, bank, government and people who acquire credits benefit. it is a very broad but very interesting system.
ResponderBorrarI agree with everything, specially with your reflection. I believe that if people were more educated in financial topics, there would be less debt, economical problems and more economical and commerce policies that protect and benefit us as consumers and contributors.
ResponderBorrar