A money market is a sector of the financial market where short-term borrowing and lending occur, typically involving instruments with maturities of one year or less. It includes various financial products such as Treasury bills, commercial paper, and certificates of deposit. Investors and institutions use the money market to manage liquidity and earn a return on their cash reserves. Participants in the money market include banks, financial institutions, and government entities. The market is considered low-risk due to the short duration of investments and the high credit quality of the instruments involved. It plays a crucial role in the overall economy by facilitating efficient cash flow management.