In finance

What distinguishes internal and external capital markets

What distinguishes the internal capital market from the external capital?

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1. What distinguishes the internal capital market from the external capital
Market?
2. What important factor(s) might affect a firm's internal-external financing
Choice?
3. Why might firms prefer to issue new debt securities rather than new common
Stock?
4. How does the U.S. tax system affect a firm's financing choices?
5. What are financial markets?
6. Why will an economy suffer without a developed financial market system?
7. What distinguishes a real asset from a financial asset?
8 Can you distinguish between direct securities and indirect securities?

9. What is the difference between a savings-surplus sector and a savingsdeficit
Sector? Give an example of each.
10. Why cannot all sectors be savings-deficit sectors?


11. Within the financial markets, what do we mean by “private placements”?
12. What are the possible advantages and disadvantages of private placements?