15. Monetary Theory and Policy

• Monetary Theory and Policy
• The Demand for Money
• Money as a Form of Wealth
• The Demand for Money
• The Interest Rate and the Effect of an Increase in the Money Supply
• Money and Aggregate Demand
• Effects on the Investment Component of Aggregate Demand
• Effect of a Change in the Price Level on Quantity Demanded
• Expansionary Monetary Policy and a Contractionary Gap
• The Transactions Demand for Money and Fiscal Policy
• The Equation of Exchange and the Quantity Theory of Money
• The Equation of Exchange and the Velocity of Money
• Monetarists and the Quantity Theory of Money
• What Determines Velocity?
• Controlling the Money Supply or Interest Rates
• A Brief History of Monetary Targets
• A Brief History of Monetary Targets (continued)