Macroeconomics mankiw 9th edition Chap 4

A store of value, a unit of account and a medium of exchange are three purposes of _______.

Money is the _____ __ ____ that can be readily used to make transactions.

As a unit of account, money provides the terms in which _____ are quoted and ______ are recorded.

As a ________, money is a way to transfer purchasing power from the present to the future

The medium of exchange, money, allows us to _______ goods and services.

Money with no intrinsic value is called, _____ money.

A good example of commodity money is ______.

When people use gold as money, or paper money you can exchange for gold the economy is considered to be on a _______ _______.

Monetary policy is the _________ control over money.

The primary way in which the fed controls the money supply is through _____- ______ ______.

Open-market operations are the ______ and _____ of government bonds.

The sum of outstanding paper money and coins.

Demand deposits are the funds people hold in their _______ ______.

The three measures of money used by the government are ___, ____ and ____.

C

Currency plus demand deposits, traveler’s checks and other checkable deposits.

M1+ retail money market mutual fund balances, saving deposits incl. Money Market deposit accounts, and small time deposits

= Currency, C + Demand Deposits, D

The process of transferring funds from savers to borrowers is called?

Fractional-reserve banking, a system under which banks keep a fraction of their?

The use of borrowed money to supplement existing funds for purposes of investment is _____.

Capital requirment requires banks to _____ a certain amount of funds.

Pg. 93 4-3