Results (
Thai) 1:
[Copy]Copied!
In this chapter, we have examined the effects of money and monetary policy onthe economy. We first analyzed the role of money in the banking system. We thendiscussed the role of the Federal Reserve and its tools for implementing monetarypolicy. Next we developed a model of the money market, analyzing both thedemand and the supply of money. We showed how an equilibrium interest rateresulted in the money market and how that rate could change. Changes in interestrates affect managerial decisions because they influence the cost of borrowingfor the firm and they change consumer spending patterns.We are now ready to develop the overall aggregate macroeconomic model thatintegrates the real and monetary sides of the economy and helps managers understandhow changes in the macro environment affect their competitive strategies(Chapter 14).
Being translated, please wait..
