{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

Review+for+Exam+III - Professor Elliott Spring 2013 Review...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Professor Elliott Spring, 2013 Review for Exam III 1) What is Monetary Policy 2) What is the Federal Reserve System 3) What is the difference between M1 and M2? 4) One can often here a call to go back to the Gold Standard (dollars must be backed by gold). What do you think are the strengths and weaknesses of such arguments? 5) How are banks necessary in the creation of money? 6) What are the Fed’s tools for monetary policy? 7) What is the Fed Funds rate and how is it different from the Discount rate? 8) What is the Federal Open Market Operations Committee and how do they effect Monetary policy? 9) Explain how and why the money multiplier works. 10) If the Fed were in sell $100,000 in bond assuming a 10% reserve requirement, how much would the money supply change. Do you think the effect in the “real world” would be this large? Explain your logic. 11) What are the main goals of the Federal Reserve System? 12) What shifts the Aggregate Supply Curve? 13) What causes a shift in the Aggregate Demand Curve? 14) What cause a change in the quantity of aggregate demand?
Image of page 1

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

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern