布兰查德宏观经济学第四版ppt第04章.pptxVIP

The Demand for Money;The Demand for Money;Income is what you earn from working plus what you receive in interest and dividends. It is a flow—that is, it is expressed per unit of time. Saving is that part of after-tax income that is not spent. It is also a flow. Savings is sometimes used as a synonym for wealth (a term we will not use in this course).;Your financial wealth, or simply wealth, is the value of all your financial assets minus all your financial liabilities. Wealth is a stock variable—measured at a given point in time. Investment is a term economists reserve for the purchase of new capital goods, such as machines, plants, or office buildings. The purchase of shares of stock or other financial assets is financial investment.;;Deriving the Demand for Money;;Figure 4 - 1;Figure 4 -1 suggests two main conclusions: The first is that there has been a large decline in the ratio of money demand to nominal income since 1960.Economists sometimes refer to the inverse of the ratio of money demand to nominal income ($Y/Md) as the velocity of money. The second conclusion is that there is a negative relation between year-to-year movements in the ratio of money demand to nominal income and year-to-year movements in the interest rate.;Figure 4 - 2;The Determination ofthe Interest Rate. i;Money Demand, Money Supply,and the Equilibrium Interest Rate;Money Demand, Money Supply,and the Equilibrium Interest Rate;Money Demand, Money Supply,and the Equilibrium Interest Rate;Money Demand, Money Supply,and the Equilibrium Interest Rate;Open Market Operations;;Bond Prices and Bond Yields;Bond Prices and Bond Yields;;Choosing Money orChoosing the Interest Rate?;;;The Determination ofthe Interest Rate, II;What Banks Do;The Balance Sheet of Banks and the Balance Sheet of the Central Bank Revisited;What Banks Do;Rumors that a bank is not doing well and some loans will not be repaid, will lead people to close their accounts at that bank. If enough people do so, the bank will