Brief Outline of Topics Covered in Lecture 10
Return Exams
Chapter 19 Money Demand
Quantity Theory of MoneyKeynes’s Liquidity Preference Theory
- Velocity of Money and Equation of Exchange
- Quantity Theory
- Quantity Theory of Money Demand
Extra Reading:
Should the Fed have to play by a rule?, by Mark Thoma, CBS News: What if the U.S. Federal Reserve Board had to implement monetary policy according to a specific rule that would require specific policy actions depending on the circumstances?
That's the intent of a bill Republicans in the House of Representatives recently proposed. The Federal Reserve Accountability and Transparency Act would force the Fed's conduct of monetary policy to follow a prescribed rule...
Economists have long debated whether specific rules are better than giving central bankers the discretion to set monetary policy as they see fit. Here are the arguments for and against policy rules, and a compromise position that many economists advocate. ...
