Share these talks and lectures with your colleagues
Invite colleaguesWe noted you are experiencing viewing problems
-
Check with your IT department that JWPlatform, JWPlayer and Amazon AWS & CloudFront are not being blocked by your network. The relevant domains are *.jwplatform.com, *.jwpsrv.com, *.jwpcdn.com, jwpltx.com, jwpsrv.a.ssl.fastly.net, *.amazonaws.com and *.cloudfront.net. The relevant ports are 80 and 443.
-
Check the following talk links to see which ones work correctly:
Auto Mode
HTTP Progressive Download Send us your results from the above test links at access@hstalks.com and we will contact you with further advice on troubleshooting your viewing problems. -
No luck yet? More tips for troubleshooting viewing issues
-
Contact HST Support access@hstalks.com
-
Please review our troubleshooting guide for tips and advice on resolving your viewing problems.
-
For additional help, please don't hesitate to contact HST support access@hstalks.com
We hope you have enjoyed this limited-length demo
This is a limited length demo talk; you may
login or
review methods of
obtaining more access.
Printable Handouts
Navigable Slide Index
- Introduction
- Goals
- Central banks
- History
- Central bank functions
- Money creation
- Open market operations
- A simplified central bank balance sheet
- An open market purchase of government bonds by the central bank
- A loan by bank “A” becomes a deposit in bank “B”
- Two key interest rates
- Interest rates and the money supply
- Central banks influence on rates
- The market for bank reserves
- An open market purchase lowers the rate
- The market for bank reserves
- Reserve requirements
- The investment function
- Monetary policy, investment and output
- The importance of Animal Spirits (1)
- An increase in investor confidence
- The importance of Animal Spirits (2)
- Monetary policy controversies
- Stagnation and quantitative easing
- What is to be done?
This material is restricted to subscribers.
Topics Covered
- Reserve requirements
- Interest rates
- Open market operations
- Central bank
- Money creation
Talk Citation
Torras, M. (2021, August 29). Monetary policy [Video file]. In The Business & Management Collection, Henry Stewart Talks. Retrieved October 4, 2023, from https://hstalks.com/bm/4704/.Export Citation (RIS)
Publication History
Other Talks in the Series: Introduction to Macroeconomics
Transcript
Please wait while the transcript is being prepared...
0:00
Hi, my name is Mariano Torras.
I'm a Professor of Economics at Adelphi University in New York.
We are going to be doing a lecture series on macroeconomics.
0:13
A nation's monetary policy concerns the supply of money in
the economy and interest rates for myriad types of borrowing.
As with fiscal policy,
the fundamental goals of monetary policy are price stability,
high employment, and economic growth.
Critics, however, often state that price stability has
become too high a priority in relation to the other goals.
Monetary policy is conducted by a nation's central bank.
0:44
Every country has its own central bank,
but the European Union, in addition,
has its own known as the European Central Bank.
The United States central bank is known as
the Federal Reserve and Japan's is the Bank of Japan.
0:59
It was in the 19th century that most of
the world's leading countries established central banks.
Even if predecessors to central banks had been
established centuries earlier in countries like Holland,
Sweden, and England, central banks were given a monopoly over the creation of money.
In those days, the bank notes or currency of
most countries was backed by their equivalent value in gold and/or silver.
This helped lend stability to
the monetary system as faith in the value of paper and coin currency
became more widespread.
Central banks each have
their own subsidiaries in different regions of the country that helped decentralize,
hence expedite many of its main functions.
The Board of Governors of a Central Bank oversee