The major function of money market is to?

A. provide funds for long-term financing
B. provide funds short-term financing
C. stabilize the value of the local currency
D. stabilize domestic prices

Correct Answer:

Option B – provide funds short-term financing

Explanation

Money market is a financial market for sourcing of short term loans. The funds traded on in the money market have a maturity date of 0-3 months