Unit Three
Fiscal & Monetary Policy
Unit Four
Foreign Exchange
Unit Five
100
A sustained increase in the general level of prices for goods and services.
What is inflation
100
Open Market Operation, Discount Rate, and Required Reserve Ratio are all tools for this.
What is the Monetary Policy
100
Regulating the money supply is the major role of this.
What is the Federal Reserve
100
These are considered good for foreign exchange in other countries and can raise value if they raise as well.
What are Interest Rates
100
To send goods or services to another country for sale.
What are exports
200
Unemployment resulting from changes in weather or demand.
What is Seasonal Unemployment
200
This is used to help get out of a recession, such as buying bonds and lowering the discount rate and required reserve ratio.
What is Expansionary
200
Increasing the amount of money in the money supply is called this.
What is Fractional Reserved Banking
200
When the demand for foreign money goes up.
What is Appreciated
200
Bringing goods or services into a country abroad for sale.
What are imports
300
Machines that replace workers cause this type of unemployment.
What is Technological Unemployment
300
Used to get out of inflation, selling bonds or raising the discount rate and required reserve ratio.
What is Contractionay
300
A combination of M1, M2, and large time deposits.
What is M3
300
When the supply of foreign exchange foes up.
What is Depreciated
300
A weaker domestic currency can cause these to become more expensive.
What are imports
400
Unemployment caused by workers who are between jobs for one reason or another.
What is Frictional Unemployment
400
When banks charge other banks for loaning out their money.
What is the Federal Funds Rate
400
The interest the Federal Reserve charges on loans to financial institutions.
What is the Discount Rate
400
The value of foreign exchange can be depreciated by this.
What is inflation
400
An expansionary monetary policy can cause a decrease in this which brings down the value of the currency.
What are Interest Rates
500
The worst type of unemployment related to changes in the business cycle where people get laid off till economy recovers.
What is Cyclical Unemployment
500
The government adjusts its spending levels and tax rates to monitor and influence a nation's economy and is controlled by congress.
What is Fiscal Policy
500
Indicating the maximum amount of checkable deposits that can be created by a single dollar of excess reserves using this.
What is the Monetary Multiplier
500
These levels of an economy can be a major shifter in foreign exchange.
What are GDP Levels
500
A strong value of currency can cause other countries to not buy the countries product causing this to decrease.
What are exports
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