1. Sides Games

2. Which M? Just currency

3. Which M? Currency Check deposits (demand deposits)

4. Which M? Currency Check deposits (demand deposits) Savings deposits Money markets

5. Type of $ in US (backed by NOTHING)

6. Money used to save for future

7. Money used to buy stuff

8. Money used to describe worth

9. Double Coincidence of wants

10. 20% RR Money Multiplier?

11. Rate banks charge each other in the overnight market?

12. Rate Fed charges banks in the overnight market?

13. Most used Fed tool?

14. Recession- Fed should ____ MS

15. Inflation- Fed should ____ MS

16. Reserves, Money Supply, and Interest Rates Fed buys bonds

17. Reserves, Money Supply, and Interest Rates Fed sells bonds

18. Money Supply, and Interest Rates Fed raises RR

19. Money Supply, and Interest Rates Fed lowers RR

20. Reserves > RR

21. Increase in M1 in short run should AS/AD model

22. Increase in M1 in long run should AS/AD model

23. Real Interest Rate is

24. Which graph uses nominal rate

25. Which graph uses real rate?

26. The nominal rate on the Money Market graph is really the ______

27. 3 expansionary policy moves

28. 3 contractionary policy moves

29. Government deficit spending reduces investment This causes…

30. Why is it called fractional reserve banking?

31. Selling bonds causes interest rates to

32. If interest rates decrease, what will happen to the amount of money people hold as cash?