1. Explain the differences between commodity money and
fiat money. What are the major disadvantages of commodity
money?
2. Why is the money multiplier considered to be a
potential multiplier rather than an indication of exactly how much
multiplication should be expected?
3. What are the inherent disadvantages of a barter
system?
4. Explain Gresham's Law.
5. Calculate M1 and M2 using details from the table
given below.
Value (in millions)
Currency
$80
Checkable deposits
30
Traveler's checks
15
Savings...
a) what conditions money would be effective to have real effects
at keynesyen theory
b)business cycles”, how and why an increase in nominal money
supply causes an increase in real output in the short run by
affecting the behavior of producers? Explain by using the IS-LM-FE
and AD-AS Frameworks.
c)how reverse causation could occur and what is the explanation
from RBC theorist that money is neutral?
What are the major differences between a distribution channel for a business making tangible products and a firm producing hospitality and travel products?
Discuss a relationship between two quantities associated with
your major (business finance). Include your major and describe the
relationship 1) in words, 2) graphically, 3) and as an equation.
Define the terms in the equation, and properly label the graph and
all terms related to it.