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The U.S. financial system is composed of: (1) policy makers, (2) a monetary system, (3) financial institutions, and (4) financial markets. Indicate which of these
The U.S. financial system is composed of: (1) policy makers, (2) a monetary system, (3) financial institutions, and (4) financial markets. Indicate which of these components is associated with each of the following roles: a. accumulate and lend/invest savings b. create and transfer money c. pass laws and set fiscal and monetary policies d. market and facilitate transfer of financial assets 2. Financial markets may be categorized as: (1) debt securities markets, (2) equity securities markets, (3) derivative securities markets, and (4) foreign exchange markets. Indicate in which of these markets the following securities trade: a. residential mortgages b. corporate bonds c. corporate stocks d. currencies 3. In business, ethical dilemmas or situations occur frequently. Laws and regulations exist to define what unethical behavior is. However, the practicing of high-quality ethical behavior often goes beyond just meeting laws and regulations. Indicate how you would respond to the following situations. a. Your boss has just told you that tomorrow the Federal Drug Administration will announce its approval of your firm
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