Economics Financial Markets Questions
A financial market is a platform or system where buyers and sellers come together to trade financial assets such as stocks, bonds, currencies, commodities, and derivatives. It facilitates the exchange of funds between individuals, businesses, and governments, allowing them to raise capital, invest, and manage risks. Financial markets can be physical locations, such as stock exchanges, or virtual platforms, such as electronic trading systems. They play a crucial role in allocating resources, determining prices, and providing liquidity to the economy.