What is the role of financial markets in the economy?

Link: https://www.rba.gov.au/media-releases/2021/mr-21-01.html

Understanding the news
• You can think of the aim of this course as of making sense of the
previous statement.
• We want to understand why money matters and how the authority
in charge of it – the Central Bank – takes decision.
• To do so, we need to understand:
– What is money?
– What is the role of financial markets in the economy?
– What is the economic model that central banks have in mind
when they take their decisions?

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