Capital market is one of the strongest pillars for national economy. Explain.
Answer»
Investors invest in share market. This way public savings gets converted as capital for industries and companies.
This way the industries form long term capital.
When companies grow by using these funds the investors further invest in the market. This boosts the overall economy.
Thus, capital market brings the money of individuals into the market and the money get invested in various industries which in turn boosts economic growth drastically.
Thus, capital market is one of the strongest pillar for national economy.