Lecture 2: What is money?
Meaning of Money
A commodity or device of some kind used for the purpose of completing transactions in
goods and services. Anything generally accepted in payment for goods or services or in
payment of debts. It does not refer to
Lecture 3: Understanding Interest Rates
Interest is the price or cost of earlier availability of resources.
For example, it is the price paid for the use of money such as by a borrower to a lender of money. It
is usually expressed at an annu
Lecture 1: An Overview of the Financial System
Financial Markets Why study Financial Markets?
Markets in which funds are transferred from people who have a surplus / an excess of available funds to
people who have a shortage of available funds are called
Lecture 4: The Behaviour of Interest Rates
We want to study the fluctuations of interest rates, for simplicity, the overall level of nominal
interest rates (simply interest rates). We find a negative relationship between interest rates
C.U.H.K. ECON1420B/UGEC1560QB Basic Banking and Finance (Spring 2015 Midterm Test)
NAME: _(_) Student I.D.: _
Part I: M.C. Select the best answer and write the letter into corresponding box provided (@ 2 points)