Why study the financial system and financial markets?

Discuss the history of the financial system. Why did stock and financial markets develop?

Define direct finance and indirect finance. What are different classifications of money?

Define liquidity. What aspects affect liquidity? Explain the functions of money. Without money, describe the difficulties of trading.

Discuss the evolution of payments system. What are the functions of the financial system? What are the types of financial markets? Types of financial institutions? Define financial intermediation. What is financial innovation? Why does it arise?

Discuss the structure of financial markets. Discuss financial instruments. Define some. What are the functions of financial intermediaries