Title Financial Economics UNit 1.docx ✅

Short Revision of Topic: 1. Financial Institutions: 2. Financial Market 3. Financial Instruments 4. Role of Financial System Financial System The financial system refers to the network of institutions, markets, regulations, and mechanisms that facilitate the flow of funds between savers (such as households and businesses) and borrowers (such as governments, corporations, and individuals) within an economy. It plays a crucial role in allocating capital efficiently, managing risks, and promoting economic growth.