Lecture16

Lecture16 - Lecture 16: Monetary Policy Economics 252,...

Info iconThis preview shows pages 1–7. Sign up to view the full content.

View Full Document Right Arrow Icon
Lecture 1 6 : Monetary Policy Economics 252, Spring 2008 Prof. Robert Shiller, Yale University
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Bank of England 1694 • Granted monopoly on joint stock banking by Parliament in return for war loans. • Not an invention of economists, started off as a powerful bank that was able to demand that other banks held deposits in it. • Did not have government monopoly on note issue, but achieved it through its monopoly power. • Independence not until 1997
Background image of page 2
Gold Standard • England 1717 • US 1900 • England abandoned 1931 • US abandoned 1933 • No country remains • Leads to redefinition of central banks
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Federal Reserve System - 1913 • Created flexible money supply, responding to business situation • Fed was lender of last resort • 12 Regional banks, each presides over a district. • Two in Missouri • Board of Governors in Washington DC
Background image of page 4
Banking Panic of 1933 • Despite Fed’s lending, a banking panic forced Roosevelt to declare a banking holiday • Led to establishment of Federal Deposit Insurance Company (FDIC) opened doors in 1934, funded by premia paid by banks • No U. S. panics since
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
• Founded 1998 • Eurozone members and non Eurozone members • Had to construct Eurozone data for first time • President Jean-Claude Trichet since 2003 • Otmar Issing
Background image of page 6
Image of page 7
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 02/08/2012 for the course ECON 252 taught by Professor Robertshiller during the Spring '08 term at Yale.

Page1 / 19

Lecture16 - Lecture 16: Monetary Policy Economics 252,...

This preview shows document pages 1 - 7. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online