III. Discussion Questions 1.Explain why banks, which would seem to have a comparative advantage in gathering information, have not eliminated the need for the money markets. 2.Explain how the Federal Reserve can influence the federal funds interest rate. 3. What are the major types of securities and who are the major participants in the money markets? 4.What are the main characteristics of money market securities? 5.Explain why money market interest rates move so closely together over time.

III. Discussion Questions 1. \\( \ ightarrow \\) Explain why banks, which would seem to have a comparative advantage in gathering information, have not eliminated the need for the money markets. 2. \\( \ ightarrow \\) Explain how the Federal Reserve can influence the federal funds interest rate. 3. \\( \ ightarrow \\) What are the major types of securities and who are the major participants in the money markets? 4. \\( \ ightarrow \\) What are the main characteristics of money market securities? 5. \\( \ ightarrow \\) Explain why money market interest rates move so closely together over time