Economics of Money, Banking and Financial Markets (12th Edition) (What's New in Economics)
12th Edition
ISBN: 9780134733821
Author: Frederic S. Mishkin
Publisher: PEARSON
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Question
Chapter 8, Problem 1Q
To determine
The most important and least important source of external funding for Country US; Country G; Country J; Country C.
Expert Solution & Answer
Explanation of Solution
The most important source of external funding for Country US is non-bank loans. Whereas Country G, Country J, and Country C prefer bank loans for external funding.
The least important source of external funding for Country US, Country J, and Country Cis stocks and for Country G is bonds.
Bank loans are an important source of external financing for the other countries except for Country US and stocks are least important for other countries except for Country G.
Economics Concept Introduction
Introduction:External financing refers to the funds raised from the issue of bonds, stock, debentures, and loans, which are considered external sources. Interest or dividends are the cost of external financing.
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Chapter 8 Solutions
Economics of Money, Banking and Financial Markets (12th Edition) (What's New in Economics)
Ch. 8 - Prob. 1QCh. 8 - Prob. 2QCh. 8 - Prob. 3QCh. 8 - Prob. 4QCh. 8 - Prob. 5QCh. 8 - Prob. 6QCh. 8 - Prob. 7QCh. 8 - Prob. 8QCh. 8 - Prob. 9QCh. 8 - Prob. 10Q
Ch. 8 - Prob. 11QCh. 8 - Prob. 12QCh. 8 - Prob. 13QCh. 8 - Prob. 14QCh. 8 - Prob. 15QCh. 8 - Prob. 16QCh. 8 - Prob. 17QCh. 8 - Prob. 18QCh. 8 - Prob. 19QCh. 8 - Prob. 20QCh. 8 - Prob. 21QCh. 8 - Prob. 22APCh. 8 - Prob. 23APCh. 8 - Prob. 24APCh. 8 - Prob. 25APCh. 8 - Prob. 1DAPCh. 8 - Prob. 2DAPCh. 8 - Prob. 1WE
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