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A market for lending and borrowing of short-term funds is known as the ______. - Economics

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Question

A market for lending and borrowing of short-term funds is known as the ______.

Options

  • Money market

  • Capital market

  • Labour market

  • Product market

MCQ
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Solution

A market for lending and borrowing of short-term funds is known as the money market.

Explanation:

The money market is a market for lending and borrowing short-term funds, typically for up to one year. It deals with financial instruments such as treasury bills, commercial paper, and certificates of deposit.

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2024-2025 (July) Official Board Paper
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