Lecture Notes on MONEY‚ BANKING‚ AND FINANCIAL MARKETS Peter N. Ireland Department of Economics Boston College irelandp@bc.edu http://www2.bc.edu/~irelandp/ec261.html Chapter 3: What Is Money? 1. Meaning of Money 2. Functions of Money Medium of Exchange Unit of Account Store of Value 3. Measuring Money Theoretical Measures Empirical Measures Federal Reserve’s Monetary Aggregates This chapter begins by defining money in basic terms. It then discusses the various functions of money in the economy
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Session Three Money Demand and Money Supply Demand for Money: Liquidity preference of a particular individual depends upon several considerations. The question is: Why should the people hold their resources liquid or in the form of ready money when they can get interest by lending money or buying bonds (a store value of money)? The desire for liquidity arises because of three motives: (i) The transaction motive; (ii) The precautionary motive; (iii) The speculative motive. The Transaction
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History of money The history of money spans thousands of years. Numismatics is the scientific study of money and its history in all its varied forms. Many items have been used as commodity money such as natural scarce precious metals‚ cowry shells‚ barley‚ beads etc.‚ as well as many other things that are thought of as having value. Modern money (and most ancient money) is essentially a token — in other words‚ an abstraction. Paper currency is perhaps the most common type of physical money today.
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WAYS OF SAVING MONEY In the present economic situation‚ the prices of different goods and services are always increasing everyday. Money has become quite hard to earn. Therefore‚ many people are looking for ways to save their money. In my opinion‚ as a housework‚ I think saving money at home is one of the best ways to save our money. According to our monthly income is high or low that we can have the good ways to save money at home. First of all‚ to people with high income‚ living standard
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Our lives are gradually improving and our money need for daily life is thus on the increase. It is obvious that money is very helpful to us‚ but in addition to their benefits‚ there are many downsides that it has brought to life. Firstly‚ money brings about a lot ot advantages as seen from the fact. We use it to equip our houses with furniture‚ to buy food‚ clothes and all other things we need to live comfortably. Money is an essential condition for every student to go to school and for every
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CAN MONEY BUY HAPPINESS? IINTRODUCTION: Money plays a very important role in everyone’s life. It makes people’s livelihood easier helping them to buy all what is material‚ to do household payments‚ but it’ can’t buy happiness. THESIS STATEMENT: Money and happiness are the contrary sides of life. Happiness is a such thing that everyone comprehends it in its own way. BODY 1: Money can’t buy happiness‚ but there are cases when money can save one’s life. If someone
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How to Make Money Although everyday people in society make money‚ they may think they are not making enough or they are not happy with how much they are making. So what really is keeping them going ‚ what is in their motivation that keeps them going‚ how do they want to have their luxuries and have extra things like cars‚ dirtbikes‚ animals ‚clothes‚ nails‚ and pretty much anything else you can think of. The fact of making a certain amount money not only changes a persons‚ but it also changes
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$100/(1 i)20 $1‚000/(1 i)20. 6. 25% ($1‚000 – $800)/$800 $200/$800 0.25. 15. The economists are right. They reason that nominal interest rates were below expected rates of inflation in the late 1970s‚ making real interest rates negative. The expected inflation rate‚ however‚ fell much faster than nominal interest rates in the mid-1980s‚ so nominal interest rates were above the expected inflation rate and real rates became positive.
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How are you dealing with your money? Do you think you have your finances under control‚ or are you spending a little more than you should? Well‚ if would like to spend more of your money and you would like to empty your bank account in half of the time‚ then you should follow these steps; buy a classy auto‚ go shopping‚ don’t cook at home‚ and use credit cards more than usual. The surest way to misuse your money is to purchase a brand new expensive car such as Escalade‚ Lexus or Mustang‚ instead
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Money Markets Treasury Dealing Report Executive summary 1. This report analyses and forecasts the past‚ present and future of Singapore’s money market situation. The first part shows the behaviour of the interest rates in Singapore for the past 3 years‚ highlighting the reasons that affect the SIBOR. 2. Secondly‚ it expresses our views and forecasts the behaviour of Singapore’s money market over the next six months. It focuses on the identification of the factors that affect the
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