ECON 111 Money and Banking
Money, interest rates, banks and other financial institutions at both micro and macro levels. Micro: alternative financial instruments, the determination of interest rates, the yield curve, and the role of banks and other capital market institutions in the intermediation process. Supply of money, regulation, and supervision. Macro: the choice of monetary policy by the central bank, the impact of monetary policy making institutions on this choice and the various channels through which monetary policy affects inflation and real variables in the economy. Emphasis is on the institutional structure of Federal Reserve System and the conduct of monetary policy in the U.S. Prerequisites: 52.