罗纳德·J·埃伯特-商学精要（第8版）ebert_be08_inppt_15.pptVIP

What’s in it for you? By understanding this chapter’s discussion of money and banking, you’ll benefit in the following way: The chapter explains what money is, where it comes from, how the supply of money grows, how it is created and controlled, and the kinds of services available to money users from the financial services industry. Teaching Tips: In your student teams, please discuss what you believe you will learn. Answers will vary. Your responses can wait until later in the class once the material has been covered. Money is usually printed paper or imprinted coins. Money is used to pay for goods and services, and it must have the following four characteristics: Portability Divisibility Durability Stability Teaching Tips: In your student teams, please choose one of the characteristics of money. Then please discuss why money needs to have your characteristic. Answers will vary but can reflect examples from the text. Let’s discuss the functions of money. There are three basic functions: It must be used as a medium of exchange. It must be a store of value. It must be a measure of worth. Teaching Tips: In your student teams, please choose one of the functions of money and discuss why it is important. Answers will vary and should include: Medium of exchange: A way to have a common method to exchange goods and services. Store of value: In a form that can be stored and saved. Measure of worth: A common way to value items. Now let’s discuss the money supply. There are three levels: M1, M2, and M3. M1 is the spendable money supply. This includes currency, or paper money and coins. This also means checks and checking accounts, which includes demand deposits in banks. M2 is M1 plus the convertible money supply. This includes time deposits such as CDs, money market mutual funds, and savings accounts. Teaching Tips: In your student teams please discuss the difference between M1 and M2. We will share our answers with the class. Answers should reflect the material just cove