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The primary reason that central banks exist, the Federal Res…

Posted on: June 8, 2025 Last updated on: November 16, 2025 Written by: Anonymous
The primary reason that central banks exist, the Federal Reserve included, is that an economy might need
Continue reading “The primary reason that central banks exist, the Federal Res…”…

Multiple assets are considered money but others, like stocks…

Posted on: June 8, 2025 Last updated on: November 16, 2025 Written by: Anonymous
Multiple assets are considered money but others, like stocks and bonds, are not.  What ultimately determines whether an asset is money?
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Say you pay $50 for soccer tickets to attend the Houston Rod…

Posted on: June 8, 2025 Last updated on: November 16, 2025 Written by: Anonymous
Say you pay $50 for soccer tickets to attend the Houston Rodeo.  This is an example of what function of money?
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A change in the monetary base

Posted on: June 8, 2025 Last updated on: November 16, 2025 Written by: Anonymous
A change in the monetary base
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The Fed’s primary monetary liabilities is called the _____ a…

Posted on: June 8, 2025 Last updated on: November 16, 2025 Written by: Anonymous
The Fed’s primary monetary liabilities is called the _____ and consists of ______ and ______. 
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One of the functions of money is that it serves as a store o…

Posted on: June 8, 2025 Last updated on: June 8, 2025 Written by: Anonymous
One of the functions of money is that it serves as a store of value.  In the U.S., we are reasonably confident that a $20 bill will buy the same quantity of goods one month from now as it will today.  However, it is not a perfect store of value.  Why?
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What would happen if a society changed from a barter economy…

Posted on: June 8, 2025 Last updated on: November 16, 2025 Written by: Anonymous
What would happen if a society changed from a barter economy to a monetary economy?
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A person’s wealth typically consists of lots of different as…

Posted on: June 8, 2025 Last updated on: June 8, 2025 Written by: Anonymous
A person’s wealth typically consists of lots of different assets and some of those assets are considered money.  Money is unique in that  
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Your textbook describes what’s know as “instrument independe…

Posted on: June 8, 2025 Last updated on: November 16, 2025 Written by: Anonymous
Your textbook describes what’s know as “instrument independence” with respect to monetary policy.  To what does this refer?  
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Most U.S. financial crises have started during periods of __…

Posted on: June 8, 2025 Last updated on: November 16, 2025 Written by: Anonymous
Most U.S. financial crises have started during periods of ________ either after the start of a recession, a stock market crash, or the failure of a major financial institution.
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