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What Is the Relationship Between the Real Side of the Economy

Question 186

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What is the relationship between the real side of the economy (economic activity that results in the creation of real assets)and the financial side of the economy (economic activity that results in the production of financial assets)? Your discussion should cover the following points: How does the production of real assets differ from the production of financial assets? Does the creation of financial assets really contribute to overall economic productivity? Do financial assets make a country richer or poorer? What role do financial assets serve (if any)in facilitating the production of real assets?

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Real assets are created by real economic...

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