Chapter 10:

MONEY – Assignments

Assignments for Macroeconomics Chapter 10


Assignment #1:  Give a definition of money. List its functions. Explain what backs money.

Assignment #2: Carefully breakdown each measure of money stock into its components. Identify which quality of money is guiding the money stock breakdown.

Assignment #3: Why is managing money supply so important? Which, supply or demand for money, can best be controlled?

Assignment #4: Explain the various components of demand for money. Draw a graph showing demand and supply of money, and use it to show how monetary policy can control money.

Assignment #5: Review the structure of the banking industry in the United States. Pinpoint the central role of the Fed. Show how its control is implemented. Comment on the nature and functions of the regional Federal Reserve Banks.



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