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Unformatted text preview: Maximum increase in Money Supply Monetary Policy Goals of the FED Functions of the FED Equation of Exchange The Quantity Theory of Money Monetary Policy tools Federal funds rate Discount rate 3 types of Money Demand Velocity Federal Open Market Committee , Operations and Procedures Applications for expansion/contraction of Money Supply and implications to other variables in Economy Foreign Exchange Market Intervention Money market equilibrium How Money Supply Changes affect GDP Exchange Rates and Financial Links Between Countries Bretton Woods Agreement Supply and Demand for Foreign Exchange intervention Appreciation/depreciation and price of goods Purchasing Power Parity Exchange rates Interest Rates & Exchange Rates...
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