Financial System and Markets Participants

Which group is generally described as receiving income, majority of which typically come from wages and salaries?

Which institution manages a state’s currency, money supply and interest rate?

Which participants can also be the lenders and borrowers themselves?

Which group comprises the national, provincial, city and towns of a country?

Which participants refer to the participants from the rest of the world such as households, government, financial and non-financial institutions and central bank?

What is a financial claim?

What does 'equities' represent in the financial system?

Where do the assets of financial institutions mostly come from?

What do financial markets facilitate?

Who handles laws on monetary policies in the Philippines?

Economic Participants

Households are generally described as receiving income, majority of which typically come from wages and salaries.
Households can also be lenders and borrowers themselves.

Financial Institutions

Financial institutions manage assets that mostly come from deposits and borrowing from other financial institutions.
Assets of financial institutions primarily comprise of loans and investments.

Central Banks

The central bank manages a state’s currency, money supply, and interest rate.

Government

The government comprises the national, provincial, city, and towns of a country.

Rest of the World

The rest of the world refers to participants from other countries, including households, government, financial and non-financial institutions, and central banks.

Financial Concepts

A financial claim is a claim on the wealth of another unit.
Equities represent ownership shares in companies and provide a claim on a part of the company’s assets and profits.
Financial markets facilitate the buying and selling of financial claims, allowing households and firms to make investments and manage risk.