Module 28

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12th grade

macroeconomics

money market

11 fois fait

Créé par

Zachary Foust

United States

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Compléter Module 28Version en ligne The Money Market - Fill-in-the-Blank par Zachary Foust 1 holding convenience opportunity cost interest Individuals and firms find it useful to hold some of their assets in the form of money because of the money provides . There is an for convenience , which is the you would earn by keeping money in the bank . When the overall level of interest rates falls , the opportunity cost of money falls too . 2 demand negatively The quantity of money individuals and firms want to hold , other things equal , is related to the interest rate . The relationship between the interest rate and the quantity of money demanded by the public is illustrated by the money curve . 3 without easier leftward quantity prices real card shifted credit proportional GDP prices The money demand curve can be by a number of factors . Higher increase the demand for money , and lower decrease the demand for money . The demand for money is to the price level . The larger the of goods and services households buy , the larger the quantity of money they will want to hold . An increase in , the total quantity of goods and services produced and sold in the economy , shifts the money demand curve rightward . A fall in real GDP shifts the money demand curve . Advances in information technology have tended to reduce the demand for money by making it for the public to make purchases holding significant sums of money . The ability of stores to process transactions via the Internet has widened their acceptance and reduced the demand for cash . 4 lend interest bills central central requirements bank cross rate bank Treasury The liquidity preference model of the interest rate says that the is determined by the supply and demand for money . The money supply curve shows the relationship between the quantity of money supplied by a and the interest rate . A can increase or decrease the money supply . Central banks usually increase or decrease the money supply through open - market operations , which are the buying or selling of . To increase or decrease the money supply , central banks can also via the discount window . Central banks can change reserve to increase or decrease the money supply . Money market equilibrium is where MS and MD .

Compléter

Individuals and firms find it useful to hold some of their assets in the form of money because of the money provides .

There is an for convenience , which is the you would earn by keeping money in the bank .

When the overall level of interest rates falls , the opportunity cost of money falls too .

demand negatively

The quantity of money individuals and firms want to hold , other things equal , is related to the interest rate .

The relationship between the interest rate and the quantity of money demanded by the public is illustrated by the money curve .

without easier leftward quantity prices real card shifted credit proportional GDP prices

The money demand curve can be by a number of factors .

Higher increase the demand for money , and lower decrease the demand for money .

The demand for money is to the price level .

The larger the of goods and services households buy , the larger the quantity of money they will want to hold .

An increase in , the total quantity of goods and services produced and sold in the economy , shifts the money demand curve rightward .

A fall in real GDP shifts the money demand curve .

Advances in information technology have tended to reduce the demand for money by making it for the public to make purchases holding significant sums of money .

The ability of stores to process transactions via the Internet has widened their acceptance and reduced the demand for cash .

lend interest bills central central requirements bank cross rate bank Treasury

The liquidity preference model of the interest rate says that the is determined by the supply and demand for money .

The money supply curve shows the relationship between the quantity of money supplied by a and the interest rate .

A can increase or decrease the money supply .

Central banks usually increase or decrease the money supply through open - market operations , which are the buying or selling of .

To increase or decrease the money supply , central banks can also via the discount window .

Central banks can change reserve to increase or decrease the money supply .

Money market equilibrium is where MS and MD .

Module 28

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Module 28Version en ligne

par Zachary Foust

holding convenience opportunity cost interest

demand negatively

without easier leftward quantity prices real card shifted credit proportional GDP prices

lend interest bills central central requirements bank cross rate bank Treasury