Monetary Economics

  1. Central Banking and the Money Supply Process
    1. Structure and Functions of Central Banks
      1. Origins of Central Banking
        1. Historical Development
          1. Bank of England (1694)
            1. Early Central Banking Functions
            2. Evolution of Central Bank Roles
              1. Lender of Last Resort
                1. Government's Bank
                  1. Bankers' Bank
                2. The Federal Reserve System
                  1. Structure and Governance
                    1. Federal Reserve Districts
                      1. District Banks
                        1. Regional Representation
                          1. Local Economic Information
                          2. Member Banks
                            1. National Banks
                              1. State Member Banks
                            2. The Board of Governors
                              1. Seven-Member Board
                                1. Fourteen-Year Terms
                                  1. Appointment Process
                                    1. Roles and Responsibilities
                                      1. Monetary Policy
                                        1. Bank Supervision
                                          1. Payment System Oversight
                                        2. The Federal Open Market Committee (FOMC)
                                          1. Composition
                                            1. Board of Governors
                                              1. Reserve Bank Presidents
                                              2. Decision-Making Process
                                                1. Meeting Schedule
                                                  1. Voting Procedures
                                                    1. Policy Statements
                                                2. The European Central Bank (ECB) and the Eurosystem
                                                  1. Structure of the ECB
                                                    1. Executive Board
                                                      1. Governing Council
                                                        1. General Council
                                                        2. Relationship with National Central Banks
                                                          1. Decentralized Implementation
                                                            1. Shared Responsibilities
                                                            2. Monetary Policy Framework
                                                              1. Price Stability Mandate
                                                                1. Two-Pillar Strategy
                                                              2. Other Major Central Banks
                                                                1. Bank of England
                                                                  1. Monetary Policy Committee
                                                                    1. Financial Policy Committee
                                                                    2. Bank of Japan
                                                                      1. Policy Board Structure
                                                                        1. Quantitative Easing Policies
                                                                        2. People's Bank of China
                                                                          1. State Council Authority
                                                                            1. Multiple Policy Tools
                                                                            2. Bank of Canada
                                                                              1. Inflation Targeting Framework
                                                                              2. Reserve Bank of Australia
                                                                                1. Board Structure
                                                                              3. Central Bank Independence
                                                                                1. Rationale for Independence
                                                                                  1. Time Inconsistency Problem
                                                                                    1. Political Business Cycles
                                                                                      1. Long-Term Focus
                                                                                      2. Measures of Independence
                                                                                        1. Goal Independence
                                                                                          1. Instrument Independence
                                                                                            1. Personal Independence
                                                                                              1. Financial Independence
                                                                                              2. Implications for Policy
                                                                                                1. Credibility Enhancement
                                                                                                  1. Inflation Expectations
                                                                                                    1. Democratic Accountability
                                                                                                2. The Central Bank's Balance Sheet
                                                                                                  1. Assets
                                                                                                    1. Securities
                                                                                                      1. Government Securities
                                                                                                        1. Treasury Bills
                                                                                                          1. Treasury Notes
                                                                                                            1. Treasury Bonds
                                                                                                            2. Agency Securities
                                                                                                              1. Mortgage-Backed Securities
                                                                                                                1. Government-Sponsored Enterprise Debt
                                                                                                                2. Foreign Exchange Reserves
                                                                                                                  1. Foreign Government Securities
                                                                                                                    1. Gold Holdings
                                                                                                                  2. Loans to Financial Institutions
                                                                                                                    1. Discount Window Lending
                                                                                                                      1. Primary Credit
                                                                                                                        1. Secondary Credit
                                                                                                                          1. Seasonal Credit
                                                                                                                          2. Emergency Lending Facilities
                                                                                                                            1. Section 13(3) Authority
                                                                                                                              1. Crisis Response Tools
                                                                                                                            2. Other Assets
                                                                                                                              1. Buildings and Equipment
                                                                                                                                1. Items in Process of Collection
                                                                                                                              2. Liabilities
                                                                                                                                1. Currency in Circulation
                                                                                                                                  1. Federal Reserve Notes
                                                                                                                                    1. Coins (Treasury Responsibility)
                                                                                                                                    2. Reserves
                                                                                                                                      1. Required Reserves
                                                                                                                                        1. Reserve Requirements
                                                                                                                                          1. Computation Periods
                                                                                                                                          2. Excess Reserves
                                                                                                                                            1. Interest on Excess Reserves
                                                                                                                                              1. Opportunity Cost
                                                                                                                                            2. Treasury Deposits
                                                                                                                                              1. Government Account Balances
                                                                                                                                              2. Foreign and International Accounts
                                                                                                                                                1. Foreign Central Bank Deposits
                                                                                                                                                2. Other Liabilities
                                                                                                                                                  1. Deferred Availability Cash Items
                                                                                                                                                3. Capital Accounts
                                                                                                                                                  1. Surplus
                                                                                                                                                    1. Other Capital Accounts
                                                                                                                                                  2. The Money Supply Process
                                                                                                                                                    1. The Monetary Base (High-Powered Money)
                                                                                                                                                      1. Components of the Monetary Base
                                                                                                                                                        1. Currency in Circulation
                                                                                                                                                          1. Bank Reserves
                                                                                                                                                          2. Central Bank Control of the Base
                                                                                                                                                            1. Open Market Operations
                                                                                                                                                              1. Lending to Banks
                                                                                                                                                                1. Foreign Exchange Operations
                                                                                                                                                              2. The Money Multiplier
                                                                                                                                                                1. Simple Money Multiplier
                                                                                                                                                                  1. Derivation of the Money Multiplier
                                                                                                                                                                    1. Assumptions and Limitations
                                                                                                                                                                    2. Realistic Money Multiplier
                                                                                                                                                                      1. Currency-Deposit Ratio
                                                                                                                                                                        1. Excess Reserve Ratio
                                                                                                                                                                          1. Required Reserve Ratio
                                                                                                                                                                          2. Factors Affecting the Multiplier
                                                                                                                                                                            1. Public Preferences
                                                                                                                                                                              1. Bank Behavior
                                                                                                                                                                                1. Regulatory Changes
                                                                                                                                                                              2. Factors Determining the Money Supply
                                                                                                                                                                                1. The Non-borrowed Monetary Base
                                                                                                                                                                                  1. Open Market Operations Impact
                                                                                                                                                                                    1. Treasury Operations
                                                                                                                                                                                    2. The Borrowed Reserves (Discount Loans)
                                                                                                                                                                                      1. Discount Window Borrowing
                                                                                                                                                                                        1. Stigma Effect
                                                                                                                                                                                        2. The Required Reserve Ratio
                                                                                                                                                                                          1. Federal Reserve Control
                                                                                                                                                                                            1. Impact on Money Creation
                                                                                                                                                                                            2. The Currency-Deposit Ratio
                                                                                                                                                                                              1. Public Behavior
                                                                                                                                                                                                1. Seasonal Patterns
                                                                                                                                                                                                  1. Economic Conditions
                                                                                                                                                                                                  2. The Excess Reserve Ratio
                                                                                                                                                                                                    1. Bank Behavior
                                                                                                                                                                                                      1. Interest Rate Environment
                                                                                                                                                                                                        1. Regulatory Requirements
                                                                                                                                                                                                        2. Interaction of Factors
                                                                                                                                                                                                          1. Endogenous vs. Exogenous Variables
                                                                                                                                                                                                            1. Feedback Effects

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                                                                                                                                                                                                      1. Foundations of Money and the Financial System

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                                                                                                                                                                                                      3. The Conduct of Monetary Policy: Tools and Targets