(Mberiah Only ECO202) MONETARY POLICY: MONEY, CREDIT, THE FEDERAL RESERVE, AND INTEREST RATE

Module 4 - Outcomes

MONETARY POLICY: MONEY, CREDIT, THE FEDERAL RESERVE, AND INTEREST RATES

· Module

· Explain the functions and the evolution of money. Explain how the Federal Reserve System uses certain tools to influence money supply and interest rates. Demonstrate how monetary policy affects personal and business decisions about spending and investing.

· Case

· Explain the tools the Federal Reserve uses to conduct monetary policy. Apply what you have learned about fiscal and monetary policy to identify a variety of past and present government actions.

· SLP

· Analyze the effect of Federal Reserve policy on the financial health of organizations. Explain differences in yields on debt instruments using the yield curve.

· Discussion

· Discuss the effectiveness of the Chairman of the Federal Reserve.