ch. 15 Flashcards
(11 cards)
1
Q
what is money?
A
2
Q
what counts as money? what is money supply?
A
3
Q
What does money demand depend on?
A
4
Q
What is the difference between nominal demand and real one? formula and intuition
A
5
Q
How can we represent the money market equilibrium? What happens when there is no equlibrium?
A
6
Q
what are short-term shocks in the money market?
A
7
Q
How does CB set money supply/interest rates?
A
8
Q
rapresent the simulaneous equilibrium? what are the effects of shocks in the short run? (Ms, Y)
A
9
Q
What are we ignoring in the short-run? what is the definition of long run?
A
10
Q
what do we mean by long run neutrality of money? (formula and intuition) What happens to Exchange rate instead?
A
11
Q
Explain dynamics of Ms variation from short to long run
A
