Exam 3 - Maximum increase in Money Supply Monetary Policy...

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Fiscal Policy Variables that shift Aggregate Demand to expand/contract Economy Increases in Aggregate demand with Aggregate Supply functioning in Keynesian, intermediate and classical ranges and outcomes associated. 3 Ways to finance increased government spending and considerations for each . Multiplier effects associated Identify Laffer curve Crowding out – definition and implications to the economy Automatic stabilizers – definition and examples of Tax structures Money and Banking Functions of money What are they Specifics of each Definitions of money (M1, M2) What do they consist of International Reserve Currency FDIC International Banking Fractional reserve banking How do banks create money Required Reserves Excess Reserves Deposit Expansion Multiplier
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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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This note was uploaded on 12/14/2011 for the course ECON 10012 taught by Professor My during the Spring '11 term at Kent State.

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Exam 3 - Maximum increase in Money Supply Monetary Policy...

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