The theory of the firm is a concept in neoclassical economics that states that a firm exists and make decisions only in order to maximize its profits. 

 

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A money market fund is a mutual fund that makes investments only in high liquidity instruments, for example, cash and/or cash equivalent securities. 

 

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Money market is a trade in short-term debt investments. At wholesale level it involves large-volume trades between institutions and common traders.

 

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Counterparty risk is the probability that one of the parties involved in a transaction might default its contractual obligation.

 

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