宏观经济学讲义4课件.ppt

CHAPTER FOUR Money and Inflation;In this chapter you will learn;U.S. inflation its trend, 1960-2001;U.S. inflation its trend, 1960-2001;The connection between money and prices;Money: definition;Money: functions;Money: types;Discussion Question;The money supply monetary policy;The central bank;Money supply measures, April 2002;The Quantity Theory of Money;Velocity;Velocity, cont.;Velocity, cont.;The quantity equation;Money demand and the quantity equation;Money demand and the quantity equation;back to the Quantity Theory of Money;The Quantity Theory of Money, cont.;The Quantity Theory of Money, cont.;The Quantity Theory of Money, cont.;The Quantity Theory of Money, cont.;The Quantity Theory of Money, cont.;International data on inflation and money growth;U.S. data on inflation and money growth;U.S. Inflation Money Growth, 1960-2001;U.S. Inflation Money Growth, 1960-2001;U.S. Inflation Money Growth, 1960-2001;U.S. Inflation Money Growth, 1960-2001;Seigniorage;Inflation and interest rates;The Fisher Effect;U.S. inflation and nominal interest rates, 1952-1998;Inflation and nominal interest rates across countries;Exercise:;Answers:;Two real interest rates;Money demand and the nominal interest rate;The money demand function;The money demand function;Equilibrium;What determines what;How P responds to ?M;What about expected inflation?;How P responds to ??e;Discussion Question ;A common misperception;Average hourly earnings the CPI;The classical view of inflation;The social costs of inflation;The costs of expected inflation: 1. shoeleather cost;The costs of expected inflation:  2. menu costs;The costs of expected inflation: 3. relative price distortions;The costs of expected inflation:  4. unfair tax treatment;The costs of expected inflation:  4. General inconvenience;Additional cost of unexpected inflation: arbitrary redistributions of purchasing power;Additional cost of high inflation: increased uncertainty;One benefit of inflation;Hyperinfla