After reading in this module is expected that readers can understand:
1 purpose and role of government in the financial markets.
2 The function of money in a system of the State economy and financial system.
3 The role of central banks in the financial markets.
4 The factors that determine the supply of money in a country's economy.
5 The risks arising in the financial market system.
As we know that the role of government in an economy in a country is very dominant. Similarly, in any form of economic subsystem, the power of government as an authorized institution looks for real. Authority as a regulator (leg ... .. lator body) and also as executor (executive) can affect the operation of each form of the economy. Thus, the financial markets as one of the economic subsystem. Thus, the financial markets as one of the country perekonomiam subsystem will not loose (free) from the government's role. The problem is how much government intervention in every sector of the economy, depending on the political system that is treated in a country. Countries that have established such as the USA, such intervention of the financial market mechanism is not so dihendaki community. Conversely in a growing economy such as Indonesia, it is expected the government's involvement. Thus, how much government intervention in the financial sector in each country will not be the same. The reason, the government has a greater interest on the welfare of society as a whole rather than just the interests of the financial markets alone.
1 purpose and role of government in the financial markets.
2 The function of money in a system of the State economy and financial system.
3 The role of central banks in the financial markets.
4 The factors that determine the supply of money in a country's economy.
5 The risks arising in the financial market system.
As we know that the role of government in an economy in a country is very dominant. Similarly, in any form of economic subsystem, the power of government as an authorized institution looks for real. Authority as a regulator (leg ... .. lator body) and also as executor (executive) can affect the operation of each form of the economy. Thus, the financial markets as one of the economic subsystem. Thus, the financial markets as one of the country perekonomiam subsystem will not loose (free) from the government's role. The problem is how much government intervention in every sector of the economy, depending on the political system that is treated in a country. Countries that have established such as the USA, such intervention of the financial market mechanism is not so dihendaki community. Conversely in a growing economy such as Indonesia, it is expected the government's involvement. Thus, how much government intervention in the financial sector in each country will not be the same. The reason, the government has a greater interest on the welfare of society as a whole rather than just the interests of the financial markets alone.