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2019•Knowledge International JournalOpen access

FUNCTIONING OF THE FINANCIAL MARKETS

D. Cvijanović, Ivan Milojević, Milan D. Mihajlović

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Abstract

From an economic point of view, a particularly important system within a country is the economic system without whose proper functioning it would not be possible for the survival, growth and development of the entire community.The financial system is one of the most important subsystems within the economic system. It is a system consisting of several elements that should enable a smooth flow of financial resources in a socio - economic community. Its basic characteristics are dynamism, openness and complexity. The most important elements of the financial system are financial markets, financial institutions and financial actors.The financial market is a basic and inseparable part of the financial system of every market economy and represents an organized place and space for which it is sought, ie. offer financial resources and on which, depending on the offer and demand, the price of these funds is formed.

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What this paper is about

From an economic point of view, a particularly important system within a country is the economic system without whose proper functioning it would not be possible for the survival, growth and development of the entire community.The financial system is one of the most important subsystems within the economic system. It is a system consisting of several elements that should enable a smooth flow of financial resources in a socio - economic community. Its basic characteristics are dynamism, openness and complexity. The most important elements of the financial system are financial markets, financial institutions and financial actors.The financial market is a basic and inseparable part of the financial system of every market economy and represents an organized place and space for which it is sought, ie. offer financial resources and on which, depending on the offer and demand, the price of these funds is formed.

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Available abstract

From an economic point of view, a particularly important system within a country is the economic system without whose proper functioning it would not be possible for the survival, growth and development of the entire community.The financial system is one of the most important subsystems within the economic system. It is a system consisting of several elements that should enable a smooth flow of financial resources in a socio - economic community. Its basic characteristics are dynamism, openness and complexity. The most important elements of the financial system are financial markets, financial institutions and financial actors.The financial market is a basic and inseparable part of the financial system of every market economy and represents an organized place and space for which it is sought, ie. offer financial resources and on which, depending on the offer and demand, the price of these funds is formed.

Key concepts: Indirect finance, Financial market participants, Financial market, Finance, Geography of finance, Openness to experience, Point (geometry), Business

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