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In: Economics

Long term capital is an essential requirement for the industrial and commercial development of the country....

Long term capital is an essential requirement for the industrial and commercial development of the country. Through the central coordinating and directing mechanism free and balanced flow of financial resources comes into the economic system operating in a country.
a) Do you think that a well functioned capital market is essential for the free and balanced flow of financial resources into the economic system of a country? Explain In detail.
b) Distinguish between the two components in the long term capital market. ( Minimum 5 differences)

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