Compare and contrast direct finance and indirect finance. Which is more likely to have a larger share of the total financial market in a mature economy? In a young economy? Why?
2)What is the relationship between the efficiency of a financial system and the rate of economic growth?
3)Describe the major types of risks to financial se- curities, and give a specific example of each. How do investors measure risk?
4)Describe and explain three factors other than expected return and risk that affect the demand for financial securities.
1) Compare and contrast direct finance and indirect finance. Which is more likely to have a larger share of the total financial market in a mature economy? In a young economy? Why?
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