In addition, such knowledge is also useful in assessing the subtle working of the financial system and its interaction with the macroeconomy. In introductory textbooks, money is described as a mechanical concept just as a product of the monetary base and the money multiplier. Such a way of understanding of money misses the important role played by money.
For example, the Australian Office of Financial Management (AOFM) extended the average tenor of CGS issuance in 2011/12 by over a year to 7.7 years,3 while over the past 12 months the tenor of corporate issuance has increased to nearly 11 years, compared with an average of 8 years since the beginning of the financial crisis.