PPT-Money ! Benjamin Graham Lecture 12: Money, Exchange Rates, and Interest

Todays Plan Housekeeping Reading quiz Money Lecture 12 Money Exchange Rates and Interest Rates Benjamin Graham Reading Quiz 1 Greshams Law states. Our World of Money?. Reflection Option -1. Bible . quotation . . Luke 14:28-30:. “. For which of you, desiring to build a tower, does not first sit down and count the cost, whether he has enough to complete it? Otherwise, when he has laid a foundation and is not able to finish, all who see it begin to mock him, saying, `This man began to build, and was not able to finish’.”. Some Early Negative . Observations. Andrew . K. . Rose. Berkeley-Haas, ABFER, CEPR and NBER. (with Allaudeen Hameed). Motivation. In last decade, five economies experienced (non-trivial) negative . nominal. Benjamin Graham. Plan for Today. Wrapping up Money. Your papers. Your careers. Lecture 12: Money, Exchange Rates, and Interest Rates Benjamin Graham. Interest Rates and the Money Supply. and Exchange Rates. Udayan Roy. ECO41 International Economics. What is Money?. Money is any asset that is widely used and accepted as a means of payment.. So, a country’s . quantity of money . (. M. Professor Malamud. BEH 502 895 – 3294 . Email: . bernard.malamud@unlv.edu. Website: . http://faculty.unlv.edu/bmalamud. . Office . Hours:MW. 11:30 – 12:30 pm; 2:30 - 3:30 pm; and by appointment. Benjamin Graham. Lecture 12: Money, Exchange Rates, and Interest Rates Benjamin Graham. Housekeeping. New syllabus is posted. 3 Khan academy videos for Friday. Lecture 12: Money, Exchange Rates, and Interest Rates Benjamin Graham. Today’s Plan. Housekeeping. Reading quiz. Money. Lecture 12: Money, Exchange Rates, and Interest Rates Benjamin Graham. Interest Rates I: Money & Banking - ECO 473 - Dr. D. Foster The Basics What is interest? Payment made to savers to compensate them for foregoing consumption. “The most powerful force in the universe is compound interest.” Interest Rates I: Money & Banking - ECO 473 - Dr. D. Foster The Basics What is interest? Payment made to savers to compensate them for foregoing consumption. “The most powerful force in the universe is compound interest.” Housekeeping. Brief Note: Why I assigned readings that are generally pro-IMF. : The IMF Benjamin Graham. Reading Quiz (1). Which of the following are true?. Make it work for you, or be its slave. There’s no in between. A Few words from J. Reuben Clark . jr.. . Interest never sleeps nor sickens nor dies; it never goes to the hospital; it works on Sundays and holidays; it never takes a vacation; it never visits nor travels . . . it has no love, no sympathy; it is as hard and soulless as a granite cliff. Once in debt, interest is your companion every minute of the day and night; you cannot shun it or slip away from it; you cannot dismiss it; it yields neither to entreaties, demands nor orders; and whenever you get in its way or cross its course or fail to meet its demands, it crushes you.”. Udayan Roy. John Maynard Keynes (1883-1946). The General Theory of Employment, Interest and Money. . (1936). A Treatise on Money . (1930). The Great Depression. The classical or neoclassical theories implied full-employment. . Foreign Exchange Intervention. 18-. 2. Preview. Balance sheets of central banks. Intervention in the foreign exchange markets and the money supply. How the central bank fixes the exchange rate. Monetary and fiscal policies under fixed exchange rates. What is the money demand curve?. How does the liquidity preference model determines the interest rate in the short run?. The Demand for Money. M1 consists of currency in circulation (cash), plus checkable bank deposits, plus traveler’s checks.