Money, Banking, Financial Institutions, and Monetary Policy

FratBro23
Category:
Economics
Price: $5 USD

Question description

1. What are the functions of money in our economy?  How do banks create money? What is the relationship between money and interest rates?

2.Wall Street's image has taken a beating due to its role in causing the 2008 financial crisis.  What is the positive role that financial markets play in our economy, and where might there be risks that consumers should be aware of?

3. Monetary policy is the action taken by the Federal Reserve to expand or contract the money supply and influence interest rates.  Based on the Fed video, what are the key ways the Fed expands or contracts monetary policy?

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