Which one of the following statements articulates the distinction between the capital market and the money market?

$1.$

The capital market deals with long$-$term securities$,$ while the money market deals with short$-$term instruments.

$2.$

The capital market involves borrowing and lending for periods exceeding one year, while the money market involves transactions with maturities of one year or less.

$3.$

The capital market is primarily concerned with government securities$,$ while the money market is concerned with corporate bonds and stocks.

$4.$

The capital market focuses on equity and debt securities for long$-$term financing, whereas the money market deals with short$-$term borrowing and lending, typically less than a year.