"Why does the Bible refer to the moon as a light?"

Genesis 1: 16 And God made the two great lights—the greater light to rule the day and the lesser light to rule the night—and the stars. 

In the creation account the Bible lists the 2 great lights, the Sun and the Moon, but the Moon doesn't actually generate light. Why would the Bible refer to it as a light? And why is the creation of the stars mentioned separately if the Sun is a star?

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