110 likes | 253 Views
This insightful overview delves into the fundamental aspects of money and banking, exploring the crucial role of the financial system and the Federal Reserve. It examines the intricate links between money supply, interest rates, and economic trends, alongside the implications of financial statement fraud and conflicts of interest in brokerage firms. With a spotlight on rising interest rates and their significance, the discussion also addresses the future of the NYSE and the potential for going public. Gain a comprehensive understanding of money's role in the economy and its effects on inflation and currency values.
E N D
Why study Money & Banking? • role of financial system • role of the Federal Reserve • links between money, interest rates, and economy
in the news… • financial statement fraud • conflicts of interest with brokerage firms • conduct of mutual funds • (Eliot Spitzer running for governor) • future of NYSE • going public?
The Federal Reserve • rising interest rates • what is the significance? • who will replace Greenspan?
The U.S. Dollar • January 2002 • 1 dollar = 1.13 euros • 1 dollar = 133 yen • January 2005 • 1 dollar = .75 euros • 1 dollar = 104 yen
the consequences of the falling $ • for U.S. trade? • for the stock and bond markets? • for financing the federal deficits?