Chapter 26 was about saving, investment, and financial system. The budgetary framework is the gathering of foundations in the economy that assistance to match one individual's sparing with someone else's venture. We discover that money related foundations are part into two gatherings: budgetary markets and monetary middle people. Money related markets are the organizations where any individual who needs to spare can straightforwardly give assets to individuals who need to acquire. Two of these money related markets are the security showcase and the share trading system. A bond is a testament of obligation. A stock is a claim of fractional possession in a firm.

Monetary middle people are budgetary foundations where savers in a roundabout way give assets to borrowers. Two of the most essential monetary mediators are banks and shared assets. Common store is an organization that offers shares to people in general and utilized the returns to purchase an arrangement of stocks and bonds. National wage bookkeeping personalities uncover vital connections between macroeconomic factors. One particular relationship is that in a shut economy, national sparing is equivalent to venture. Once more, monetary establishments are the system that the economy uses to coordinate on individual's sparing with someone else's venture.

Financing cost is dictated by free market activity for loanable assets. Supply originates from families who need to spare some of their salary. Request originates from family units and firms who need to acquire for speculation. Private sparing and open sparing together liken to national sparing.