Question

______ market is thus an institutional arrangement by which savings generated in the country are channelised into avenues of long-term investment.

Options

• Capital

• Debt

• Equity

• None of these

Answer 1

Capital market is thus an institutional arrangement by which savings generated in the country are channelised into avenues of long-term investment.

Explanation:

The capital market is an institutional arrangement that mobilises domestic savings and channels them into long‑term investment via instruments such as shares, debentures, and bonds, and through stock exchanges, thereby funding industry and government projects.