In an unregulated world, the money markets should not be needed because of the banking industry. The latter exists primarily to provide short-term loans and to accept short-term deposits. They have an efficient advantage in gathering information, which should eliminate the need for the money markets. Also, because of their continuing relationships with customers, banks offer loans more cheaply than diversified markets. Furthermore, deposits placed in banks and thrifts are more liquid and safe compare with the short-term securities offered for sale in the money markets. Given the advantages that banks have, why do money markets exist at all? Discuss your answer in no more than five (5) sentences. Discussion