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 Govt.'s View an Economic Perspective


*   Government believes that Investor's Money         investments in Land, Properties, Gold, etc,.         does not benefit to the Economy.

*   On the other hand, Money invested in                 Financial Assets like Equity Mutual Funds,             Debentures, F.D.s, Bonds, LIC Policies can be      productive investments for the Economy.

*   The Money that the Government mobilizes         through issue of Govt. securities can go                 towards various productive purposes.

*   The Companies whose shares are bought can        invest the money in an expansion projects,         which can boost production, jobs and National      Income in the form of Taxes.

*   The bank where the bank account or F.D. is         maintained can lend the money to such                 productive activities and thus help the                 economy. This explains the interest of the             government in converting more and more of         the physical assets held by investors into             Financial Assets.    

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