ECO 205 Lecture Notes - Lecture 2: Federal Reserve System, Corporate Bond, Commercial Paper
Document Summary
Chapter 2: an overview of the financial system. Preview: this chapter presents an overview of the study of financial markets & institutions. Identify the reasons for & list the types of financial market regulations. Figure 1 flows of funds through the financial system. Internationalization of financial markets: foreign bonds: sold in a foreign country & denominated in that country"s currency, ex: a bond denominated in us dollars issued by a german company in the united. Table 3 primary assets & liabilities of financial intermediaries. Business & consumer loans, mortgages, u. s. gov"t securities, & municipal bonds. Stocks, bonds, loans, foreign currencies, & many other assets. Table 5 principal regulatory agencies of the u. s. financial system. Charters & examines the books of federally chartered commercial banks & thrift institutions; imposes restrictions on assets they can hold. Charters & examines the books of federally chartered credit unions & imposes restrictions on assets they can hold.
