Consider the following markets: 1. Government Bond Market 2. Call Money Market 3. Treasury Bill Market 4.…

Consider the following markets: 1. Government Bond Market 2. Call Money Market 3. Treasury Bill Market 4. Stock Market. How many of the above are included in capital markets?
  1. Only one
  2. Only two
  3. Only three
  4. All four

Solution

Capital markets include long-term instruments: Government Bond Market and Stock Market (2). Call Money and Treasury Bills are money market instruments (short-term).

Asked in: UPSC Prelims 2023

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