Explain How the Money Market Performs the Flow-Of-Funds Function

question 42

Essay

Explain how the money market performs the flow-of-funds function.Discuss how the market's performance of this function has been impacted by the GFC.

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Definitions:

Lump-Sum Payments

A single payment made at a particular time, as opposed to multiple payments made over a period of time.

Employee Stock Ownership Plan

A plan that helps employees purchase stock in their employing companies.

Gain-Sharing

A compensation strategy where employees receive additional financial benefits from the company's performance improvements.

Two-Tier Wage System

A compensation system where new employees are paid less and receive fewer benefits than existing employees for doing the same job.