Chapter 14 class - i. Nothing c. What is Money valuable i....

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Chapter 14 class 1. Functions of Money a. Medium of echanged i. Used to buy/sell goods b. Unit of account i. Goods valued in dollars c. Store of value i. Hold some wealth in money form d. Money is liquid 2. Money Defined a. M1 i. Currency ii. Checkable deposits b. Institutions offering chaable deposits i. Commercial Banks ii. Savings and loan associations iii. Mutual savings banks iv. Credit unions c. M2 i. M1 plus near-monies ii. Savings deposits including money market deposit accounts (MMDA) iii. Small time deposits 3. Money Supply
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a. Are credic cards money i. Neither ii. Loans b. What Backs the money supply
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Unformatted text preview: i. Nothing c. What is Money valuable i. Acceptability ii. Legal tender iii. Relative scarcity d. Prices go up Purchasing power goes down 4. Federal Reserve Systtem a. Historical Backround b. Bord of gove3renors c. 12 Fredearl Reserve Banks i. Sere as the entral bank ii. Quasi-public banks iii. Bankers Bank d. Federal Open Market Committee i. Aids bord of governors in setting monetary policy ii. Conducts open market operations e. Issue Currency 5. 60% of US currency is owned by public 6....
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This note was uploaded on 05/09/2011 for the course ECON 102 taught by Professor Ashookshulka during the Spring '11 term at Harrisburg Area Community College.

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Chapter 14 class - i. Nothing c. What is Money valuable i....

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