Search results “Monetary policy and foreign exchange reserves”
Using reserves to stabilize currency | Foreign exchange and trade | Macroeconomics | Khan Academy
How a central bank could use foreign currency reserves to keep its own currency from devaluing Watch the next lesson: https://www.khanacademy.org/economics-finance-domain/macroeconomics/forex-trade-topic/currency-reserves/v/speculative-attack-on-a-currency?utm_source=YT&utm_medium=Desc&utm_campaign=macroeconomics Missed the previous lesson? https://www.khanacademy.org/economics-finance-domain/macroeconomics/forex-trade-topic/currency-reserves/v/accumulating-foreign-currency-reserves?utm_source=YT&utm_medium=Desc&utm_campaign=macroeconomics Macroeconomics on Khan Academy: Topics covered in a traditional college level introductory macroeconomics course About Khan Academy: Khan Academy offers practice exercises, instructional videos, and a personalized learning dashboard that empower learners to study at their own pace in and outside of the classroom. We tackle math, science, computer programming, history, art history, economics, and more. Our math missions guide learners from kindergarten to calculus using state-of-the-art, adaptive technology that identifies strengths and learning gaps. We've also partnered with institutions like NASA, The Museum of Modern Art, The California Academy of Sciences, and MIT to offer specialized content. For free. For everyone. Forever. #YouCanLearnAnything Subscribe to Khan Academy's Macroeconomics channel: https://www.youtube.com/channel/UCBytY7pnP0GAHB3C8vDeXvg Subscribe to Khan Academy: https://www.youtube.com/subscription_center?add_user=khanacademy
Views: 108557 Khan Academy
Y1/IB 31) Monetary Policy (Interest Rates, Money Supply and Exchange Rate)
AS/IB 21) Monetary Policy (Interest Rates, Money Supply and Exchange Rate) - An understanding of how monetary policy works with reference to central bank inflation targeting as well. Twitter: https://twitter.com/econplusdal Facebook: https://www.facebook.com/EconplusDal-1651992015061685/?ref=aymt_homepage_panel
Views: 127797 EconplusDal
What's all the Yellen About? Monetary Policy and the Federal Reserve: Crash Course Economics #10
This week on Crash Course Economics, we're talking about monetary policy. The reality of the world is that the United States (and most of the world's economies) are, to varying degrees, Keynesian. When things go wrong, economically, the central bank of the country intervenes to try aand get things back on track. In the United States, the Federal Reserve is the organization that steps in to use monetary policy to steer the economy. When the Fed, as it's called, does step in, there are a few different tacks it can take. The Fed can change interest rates, or it can change the money supply. This is pretty interesting stuff, and it's what we're getting into today. Crash Course is on Patreon! You can support us directly by signing up at http://www.patreon.com/crashcourse Thanks to the following Patrons for their generous monthly contributions that help keep Crash Course free for everyone forever: Fatima Iqbal, Penelope Flagg, Eugenia Karlson, Alex S, Jirat, Tim Curwick, Christy Huddleston, Eric Kitchen, Moritz Schmidt, Today I Found Out, Avi Yashchin, Chris Peters, Eric Knight, Jacob Ash, Simun Niclasen, Jan Schmid, Elliot Beter, Sandra Aft, SR Foxley, Ian Dundore, Daniel Baulig, Jason A Saslow, Robert Kunz, Jessica Wode, Steve Marshall, Anna-Ester Volozh, Christian, Caleb Weeks, Jeffrey Thompson, James Craver, and Markus Persson -- Want to find Crash Course elsewhere on the internet? Facebook - http://www.facebook.com/YouTubeCrashCourse Twitter - http://www.twitter.com/TheCrashCourse Tumblr - http://thecrashcourse.tumblr.com Support Crash Course on Patreon: http://patreon.com/crashcourse CC Kids: http://www.youtube.com/crashcoursekids
Views: 871605 CrashCourse
Monetary and Fiscal Policy: Crash Course Government and Politics #48
Today, Craig is going to dive into the controversy of monetary and fiscal policy. Monetary and fiscal policy are ways the government, and most notably the Federal Reserve, influences the economy - for better or for worse. So we’re going to start by looking at monetary policy, and specifically how the Federal Reserve uses interests rates as a means of controlling (or at least attempting to control) inflation. We’ll then move onto fiscal policy - that is the government’s use of taxation to raise and spend money. It’s all, well, pretty controversial, but as it seems Americans hate taxes the most, monetary policy is most often used - meaning that the Federal Reserve plays a hugely significant role in steering the U.S. economy. Produced in collaboration with PBS Digital Studios: http://youtube.com/pbsdigitalstudios Support is provided by Voqal: http://www.voqal.org All attributed images are licensed under Creative Commons by Attribution 4.0 https://creativecommons.org/licenses/... Want to find Crash Course elsewhere on the internet? Facebook - http://www.facebook.com/YouTubeCrashC... Twitter - http://www.twitter.com/TheCrashCourse Tumblr - http://thecrashcourse.tumblr.com Support Crash Course on Patreon: http://patreon.com/crashcourse CC Kids: http://www.youtube.com/crashcoursekids
Views: 413076 CrashCourse
Money supply: M0, M1, and M2 | The monetary system | Macroeconomics | Khan Academy
In this video, learn about the two measures of money that are part of the money supply - M1 and M2 - as well as the monetary base (which is sometimes called M0). Watch the next lesson: https://www.khanacademy.org/economics-finance-domain/macroeconomics/monetary-system-topic/factional-reserve-accounting/v/simple-fractional-reserve-accounting-part-1?utm_source=YT&utm_medium=Desc&utm_campaign=macroeconomics Missed the previous lesson? https://www.khanacademy.org/economics-finance-domain/macroeconomics/monetary-system-topic/fractional-reserve-banking-tut/v/full-reserve-banking?utm_source=YT&utm_medium=Desc&utm_campaign=macroeconomics Macroeconomics on Khan Academy: Topics covered in a traditional college level introductory macroeconomics course About Khan Academy: Khan Academy offers practice exercises, instructional videos, and a personalized learning dashboard that empower learners to study at their own pace in and outside of the classroom. We tackle math, science, computer programming, history, art history, economics, and more. Our math missions guide learners from kindergarten to calculus using state-of-the-art, adaptive technology that identifies strengths and learning gaps. We've also partnered with institutions like NASA, The Museum of Modern Art, The California Academy of Sciences, and MIT to offer specialized content. For free. For everyone. Forever. #YouCanLearnAnything Subscribe to Khan Academy's Macroeconomics channel: https://www.youtube.com/channel/UCBytY7pnP0GAHB3C8vDeXvg Subscribe to Khan Academy: https://www.youtube.com/subscription_center?add_user=khanacademy
Views: 359735 Khan Academy
How Banks Create Money and the Money Multiplier- Macro 4.8
Money doesn't grow on trees, but it does grow in banks. I explain how banks create money and how to use the money multiplier. For more practice go to my website www.ACDCecon.com or watch the unit playlist videos. Please subscribe and leave a comment. You rock! Monetary Policy and Despicable Me https://www.youtube.com/watch?v=RaeIBeJT5hY Video about the Federal Reserve https://www.youtube.com/watch?v=qXhXnwDANXo Unit playlists. https://www.youtube.com/watch?v=HQkVO2PsxFw
Views: 485371 Jacob Clifford
The Money Market - How Monetary Policy Works (OMOs, Reserve Requirements, Discount Rate)
Monetary Policy Tools - How Monetary Policy Works (OMOs, Reserve Requirements, Discount Rate) - The tools available to central bankers around the world to enact monetary policy. This is how monetary policy actually works
Views: 18548 EconplusDal
The Tools of Monetary Policy
This video lesson graphically presents the three tools Central Banks have at their disposal for managing the level of aggregate demand in the economy. Through increasing or decreasing the money supply, a central bank has influence over the interest rates in a nation, and therefore over the level of investment and consumption among firms and households. To accomplish this, three tools are employed: The reserve requirement, the open market purchase or sale of government bonds, and the discount rate. This lesson illustrates these three tools and explains the relative importance of each to monetary policy makers.
Views: 185505 Jason Welker
Macro 4.1- Money Market and FED Tools (Monetary Policy)
Mr. Clifford explains the supply and demand for money and the three tools that the FED uses to adjust the money supply
Views: 232151 Jacob Clifford
#72, Foreign exchange rate (Class 12 macroeconomics)
Class 12 macroeconomics ..... Foreign exchange rate.... Foreign exchange.... Types of foreign exchange rate ..... Depreciation and appreciation of currency.... Contact for my book 7690041256 Economics on your tips video 72 Our books are now available on Amazon Economics on your tips Macroeconomics ( new edition ) https://www.amazon.in/dp/B07R561YKH/ref=cm_sw_r_cp_apa_i_3wVXCbE2Z9DZE Economics on your tips Microeconomics http://amzn.in/d/cZykZVK Official series of playlists UG courses ( bcom, bba, bca, ba, honours) – https://www.youtube.com/playlist?list=PLgC10_Xv-BGirAqOr-hU8e-N_Nz0UpgJ- Micro economics complete course – https://www.youtube.com/playlist?list=PLgC10_Xv-BGg5n3YU6oEV7_HIzBuEbbOz Macro economics complete course- https://www.youtube.com/playlist?list=PLgC10_Xv-BGg2ORORpILqiDR1gyH3MkXw Statistics complete course- https://www.youtube.com/playlist?list=PLgC10_Xv-BGjrAkDyeMioJ7DEexAEeVdt National income – https://www.youtube.com/playlist?list=PLgC10_Xv-BGjpE-1V4uz_0wvvbZQnSsj_ In order to promote us and help us grow Paytm on - 7690041256
Views: 443730 Economics on your tips
Milton Friedman - What is Monetary Policy?
Professor Friedman brilliantly explains monetary policy, what money really is, the Federal Reserve and the price system. http://www.LibertyPen.com
Views: 9862 LibertyPen
How the Reserve Bank Implements Monetary Policy
Watch Senior Analyst, Katherine Leong, talk about how the Reserve Bank implements monetary policy in this short lecture-style video.
Views: 6013 RBAinfo
Why is the DOLLAR the World's RESERVE CURRENCY? - VisualPolitik EN
You’ve heard this a thousand times: the American dollar is the World’s reserve currency, the hegemonic currency in the planet. However, what does it really mean that the dollar is the hegemonic currency? I mean… how does the United States benefit from having a currency that is been used for the international trade? Is it really that important? Really? And the most important thing of all… Could the American Dollar loose its status? Could it be replaced by other currencies like the EURO or the Chinese YUAN? Support us on Patreon! www.patreon.com/visualpolitik And don't forget to visit our friend’s podcast, Reconsider Media: http://www.reconsidermedia.com/
Views: 228983 VisualPolitik EN
Imports, Exports, and Exchange Rates: Crash Course Economics #15
What is a trade deficit? Well, it all has to do with imports and exports and, well, trade. This week Jacob and Adriene walk you through the basics of imports, exports, and exchange. So, you remember the specialization and trade thing, right? So, that leads to imports and exports. Economically, in the aggregate, this is usually a good thing. Globalization and free trade do tend to increase overall wealth. But not everybody wins. Crash Course is on Patreon! You can support us directly by signing up at http://www.patreon.com/crashcourse Thanks to the following Patrons for their generous monthly contributions that help keep Crash Course free for everyone forever: Mark, Eric Kitchen, Jessica Wode, Jeffrey Thompson, Steve Marshall, Moritz Schmidt, Robert Kunz, Tim Curwick, Jason A Saslow, SR Foxley, Elliot Beter, Jacob Ash, Christian, Jan Schmid, Jirat, Christy Huddleston, Daniel Baulig, Chris Peters, Anna-Ester Volozh, Ian Dundore, Caleb Weeks -- Want to find Crash Course elsewhere on the internet? Facebook - http://www.facebook.com/YouTubeCrashCourse Twitter - http://www.twitter.com/TheCrashCourse Tumblr - http://thecrashcourse.tumblr.com Support Crash Course on Patreon: http://patreon.com/crashcourse CC Kids: http://www.youtube.com/crashcoursekids
Views: 1065489 CrashCourse
Speculative attack on a currency | Foreign exchange and trade | Macroeconomics | Khan Academy
Watch the next lesson: https://www.khanacademy.org/economics-finance-domain/macroeconomics/forex-trade-topic/currency-reserves/v/financial-crisis-in-thailand-caused-by-speculative-attack?utm_source=YT&utm_medium=Desc&utm_campaign=macroeconomics Missed the previous lesson? https://www.khanacademy.org/economics-finance-domain/macroeconomics/forex-trade-topic/currency-reserves/v/using-reserves-to-stablize-currency?utm_source=YT&utm_medium=Desc&utm_campaign=macroeconomics Macroeconomics on Khan Academy: Topics covered in a traditional college level introductory macroeconomics course About Khan Academy: Khan Academy offers practice exercises, instructional videos, and a personalized learning dashboard that empower learners to study at their own pace in and outside of the classroom. We tackle math, science, computer programming, history, art history, economics, and more. Our math missions guide learners from kindergarten to calculus using state-of-the-art, adaptive technology that identifies strengths and learning gaps. We've also partnered with institutions like NASA, The Museum of Modern Art, The California Academy of Sciences, and MIT to offer specialized content. For free. For everyone. Forever. #YouCanLearnAnything Subscribe to Khan Academy's Macroeconomics channel: https://www.youtube.com/channel/UCBytY7pnP0GAHB3C8vDeXvg Subscribe to Khan Academy: https://www.youtube.com/subscription_center?add_user=khanacademy
Views: 124906 Khan Academy
Monetary Policy in India - Tools in the hands of RBI
One of the major functions of RBI (Reserve bank of India) is to control inflation and liquidity in the economy. Today I am going to discuss various tools with RBI that directly impacts the money supply in the economy. Download Banking Awareness Guide here - http://www.bankexamstoday.com/2015/08/banking-awareness-questions-pdf.html
Views: 36467 BankExamsToday
The Money Multiplier
When you deposit money into a bank, do you know what happens to it? It doesn’t simply sit there. Banks are actually allowed to loan out up to 90% of their deposits. For every $10 that you deposit, only $1 is required to stay put. This practice is known as fractional reserve banking. Now, it’s fairly rare for a bank to only have 10% in reserves, and the number fluctuates. Since checkable deposits are part of the U.S. money supplies, fractional reserve banking, as you might have guessed, can have a big impact on these supplies. This is where the money multiplier comes into play. The money multiplier itself is straightforward: it equals 1 divided by the reserve ratio. If reserves are at 10%, the minimum amount required by the Fed, then the money multiplier is 10. So if a bank has $1 million in checkable deposits, it has $10 million to work with for stuff like loans and reserves. Now, typically, the money multiplier is more like 3, because banks can always hold more in reserves than the minimum 10%. When the money multiplier is higher, like during a boom, this gives the Fed more leverage to move M1 and M2 with a small change in reserves. But when the multiplier is lower, such as during a recession, the Fed has less leverage and must push harder to wield its indirect influence over M1 and M2. Next up, we’ll take a closer look at how the Fed controls the money supply and how that has changed since the Great Recession. Subscribe for new videos every Tuesday! http://bit.ly/1Rib5V8 Macroeconomics Course: http://bit.ly/2eHWWtC Ask a question about the video: http://bit.ly/2utp1IH Next video: http://bit.ly/2udpA7U
Monetary Policy#1: Money multiplier, Fractional Reserve, High Powered v. Narrow v. Broad Money
- So far in the budget and economic survey series 2017 (BES17): we've covered the evolution of money with special focus on digital payment in the light of de-monetization. - Now we shall move to monetary policy- tools, review of last one year's policies and its limitations. - But, first we must learn how can a Central Bank control money supply and liquidity in the system? - In his book the General theory of employment, interest and money, the famous Economist John Maynard Keynes listed the motives for which people demand and keep money in liquid form 1) transaction motive 2) precautionary motive and 3) speculative motive- also known as the asset demand of money. - We measure the money supply thus kept as "M1"- which is currency with public plus demand deposits in the banks. Because of the fractional reserve system, Every “R” reserve generates “1/r” new money - What is money multiplier, why is it said that in a functional economy, money multiplier is always greater than one? - What is M0: reserve money or high powered money? Why is it called liability of RBI? - Measures of money supply: M0, M1, M2, M3, M4. what is broad money and what is narrow money? Which one has the highest liquidity? - How can RBI combat inflation and deflation? What type of policy strategy should it use against these two scenarios? What is easy money policy, cheap money policy, dovish money policy vs. tight money policy, dear money policy, Hawkish money policy. - Faculty Name: You know who - all Powerpoint available at http://mrunal.org/powerpoint - Exam-Utility: UPSC IAS IPS Civil service exam, Prelims, CSAT, Mains, Staff selection SSC-CGL, IBPS-PO/MT, IBPS-CWE, SBI PO & Clerk, RBI and other banking exams; LIC, EPFO, FCI & other PSU exams; CDS, CAPF and other defense services exams; GPSC, MPPCS, RPSC & other State PCS services exams with Indian Economy, Budget, Banking, Public Finance in its syllabus- with descriptive questions and answer writing.
Views: 350291 Mrunal Patel
Bitcoin Q&A: Divisibility and deflationary monetary policy
Paris Merkle Conference Keywords/phrases: Bitcoin's monetary policy is simulated to resemble precious metals, restricted supply without fractional reserve. 21 million is the maximum number of coins that will ever be created. Bitcoin is not a traditional currency, it is programmable money subdivided by 8 decimal points., or one-hundred million smaller units (satoshis) in every bitcoin. That could fit the world economy. Where supply is restricted, inflation is a problem, deflation is not. "Deflation" is a scary term for economists who now deal with currencies that are fractional reserve; deflation only occurs through the government, which has the authority to create an infinite supply, recession and depression. Therefore you only see it in places where there's catastrophic collapse in demand. In a market where you have deflation that is caused by improvements in efficiency, you get falling prices / cheaper goods. In a world where every other currency is printed to infinity, Bitcoin is interesting because it isn't. CORRECTION: At 1:36, I tried to do some improve math and failed. If each satoshi was worth one penny ($0.01), then the value of the 21 quadrillion total supply of satoshis would be worth $210 trillion. Also, at 3:49, I said that a cup of coffee would have cost "a hundred billion trillion marks." However, at the height of the hyperinflationary crisis in the Weimar Republic, a cup of coffee would have been closer to a range of hundreds of billions or trillions of marks, at most.
Views: 6880 aantonop
Monetary Policy: Money Creation in a Fractional Reserve Banking System
In this video we illustrate the process by which money is created in a fractional reserve banking system. Due to the fact that at any given time a bank must only keep a certain percentage of its total deposits on reserve, an initial deposit of a certain amount of money will be multiplied as the bank loans out any excess reserves, whose spending leads to further new deposits and even further loans in the economy. Want to learn more about economics, or just be ready for an upcoming quiz, test or end of year exam? Jason Welker is available for tutoring, IB internal assessment and extended essay support, and other services to support economics students and teachers. Learn more here! http://econclassroom.com/?page_id=5870
Views: 132198 Jason Welker
How Interest Rates Affect the Market
Investors should observe the Federal Reserve’s funds rate, which is the cost banks pay to borrow from Federal Reserve banks. What's going on with Japan's interest rates? Read here: http://www.investopedia.com/articles/investing/012916/bank-japan-announces-negative-interest-rates.asp?utm_source=youtube&utm_medium=social&utm_campaign=youtube_desc_link
Views: 88438 Investopedia
Alan Greenspan: U.S. Monetary Policy, Foreign Exchange Markets, Financial System, Currency (2004)
Controversy about currency speculators and their effect on currency devaluations and national economies recurs regularly. Nevertheless, economists including Milton Friedman have argued that speculators ultimately are a stabilizing influence on the market and perform the important function of providing a market for hedgers and transferring risk from those people who don't wish to bear it, to those who do.[80] Other economists, such as Joseph Stiglitz, consider this argument to be based more on politics and a free market philosophy than on economics.[81] Large hedge funds and other well capitalized "position traders" are the main professional speculators. According to some economists, individual traders could act as "noise traders" and have a more destabilizing role than larger and better informed actors.[82] Also to be considered is the rise in foreign exchange autotrading; algorithmic, or automated, trading has increased from 2% in 2004 up to 45% in 2010.[83] Currency speculation is considered a highly suspect activity in many countries.[where?] While investment in traditional financial instruments like bonds or stocks often is considered to contribute positively to economic growth by providing capital, currency speculation does not; according to this view, it is simply gambling that often interferes with economic policy. For example, in 1992, currency speculation forced the Central Bank of Sweden to raise interest rates for a few days to 500% per annum, and later to devalue the krona.[84] Mahathir Mohamad, one of the former Prime Ministers of Malaysia, is one well-known proponent of this view. He blamed the devaluation of the Malaysian ringgit in 1997 on George Soros and other speculators. Gregory Millman reports on an opposing view, comparing speculators to "vigilantes" who simply help "enforce" international agreements and anticipate the effects of basic economic "laws" in order to profit.[85] In this view, countries may develop unsustainable financial bubbles or otherwise mishandle their national economies, and foreign exchange speculators made the inevitable collapse happen sooner. A relatively quick collapse might even be preferable to continued economic mishandling, followed by an eventual, larger, collapse. Mahathir Mohamad and other critics of speculation are viewed as trying to deflect the blame from themselves for having caused the unsustainable economic conditions. In a typical foreign exchange transaction, a party purchases some quantity of one currency by paying with some quantity of another currency. The modern foreign exchange market began forming during the 1970s after three decades of government restrictions on foreign exchange transactions (the Bretton Woods system of monetary management established the rules for commercial and financial relations among the world's major industrial states after World War II), when countries gradually switched to floating exchange rates from the previous exchange rate regime, which remained fixed as per the Bretton Woods system. The foreign exchange market is unique because of the following characteristics: its huge trading volume representing the largest asset class in the world leading to high liquidity; its geographical dispersion; its continuous operation: 24 hours a day except weekends, i.e., trading from 22:00 GMT on Sunday (Sydney) until 22:00 GMT Friday (New York); the variety of factors that affect exchange rates; the low margins of relative profit compared with other markets of fixed income; and the use of leverage to enhance profit and loss margins and with respect to account size. As such, it has been referred to as the market closest to the ideal of perfect competition, notwithstanding currency intervention by central banks. According to the Bank for International Settlements,[4] the preliminary global results from the 2013 Triennial Central Bank Survey of Foreign Exchange and OTC Derivatives Markets Activity show that trading in foreign exchange markets averaged $5.3 trillion per day in April 2013. This is up from $4.0 trillion in April 2010 and $3.3 trillion in April 2007. Foreign exchange swaps were the most actively traded instruments in April 2013, at $2.2 trillion per day, followed by spot trading at $2.0 trillion. According to the Bank for International Settlements,[5] as of April 2010, average daily turnover in global foreign exchange markets is estimated at $3.98 trillion, a growth of approximately 20% over the $3.21 trillion daily volume as of April 2007. Some firms specializing on foreign exchange market had put the average daily turnover in excess of US$4 trillion.[6] The $3.98 trillion break-down is as follows: $1.490 trillion in spot transactions $475 billion in outright forwards $1.765 trillion in foreign exchange swaps $43 billion currency swaps $207 billion in options and other products http://en.wikipedia.org/wiki/Foreign_exchange_market
Views: 480 Way Back
Fixed vs. Flexible Exchange Rate Regimes and Policies
Interview granted to "Nova Makedonija" 1. What is your opinion about fixed exchange rate regimes? A. Fixed exchange rate regimes are useful in crisis circumstances, when the restoration of stability and the trust of citizens, investors, and speculators is essential. Such harsh measures, usually coupled with capital controls, should be short-term and lifted immediately when the economy had picked up and expectations have settled. Maintaining a fixed-rate regime in the long-term has nefarious and dangerous consequences as the exchange rate diverges further and further from the real value of the currency, adjusted to inflation. This erodes the competitiveness of exporters, renders imports relatively cheap, distorts the price signal throughout the economy (in other words: people don't know what the real value of their currency is abroad). It also leads to speculative attacks on the currency from the outside (if the currency is convertible and traded in free foreign exchange markets) - or from the inside (in the form of a thriving black foreign exchange market.) 2. What is the connection between exchange rate policies and better economic results? A. This depends on how open the country is to the global capital markets and what percentage of its GDP is made up of international trade and various transfers from abroad (such as remittances.) As a rule, the more exposed a country is to the ups and downs of the global market, the more it should have a flexible and adaptable exchange rate policy. A country that exports and imports a lot needs to have competitive manufacturing, services (e.g., tourism), and agricultural sectors. An important part of such competitiveness is having the correct exchange rate which reflects inflation differentials, purchasing power disparities, relative advantages, and structural elements. Such constant adjustment (up AND down, for instance within a band) is excluded by a fixed rate regime. By adopting a fixed exchange rate, the country is giving up on one of its most important automatic economic stabilizers and policy tools, as Greece is discovering now to its great cost. 3. Is a fixed exchange rate good for controlling inflation? Is there a possibility to control the prices and make a correction of the value of the currency? Inflation reflects expectations of the population regarding the future level of prices. These expectations are affected by the level of stability inside the country - but also by factors outside it. In a country that is open to international trade, foreign capital flows, and foreign direct investment, external instability is far more important than internal stability. Indeed, in countries like Macedonia, Israel, and Brazil, most of the inflation comes from the outside via the soaring prices of imports such as energy products, foodstuffs, and raw materials. There is little the monetary authorities can do to affect such imported inflation. Still, it is true that a string of unannounced, arbitrary, unscripted, incomprehensible, and large devaluations will create inflation. The exchange rate policy has to be transparent, predictable, rational, and adaptable. There are dozens of countries around the world with various modesl of flexible exchange rates and, yet, with stable prices: these two are not mutually exclusive. Flexible exchange rates mean that the currency can do down (devaluation) - but also up (appreciation or revaluation.) 4. What happens to an economy if people from abroad stop sending money? Depends on: (1) What is the share of remittances in the GDP; and (2) What are the remittances used for. In most poor countries remittances constitute 10-15% of GDP and they are used by the recipients mostly for consumption. When remittances decline, consumption and GDP are adversely affected, the level of foreign exchange reserves declines, and outlays on social welfare increase. 5. Can a country defeat the trade deficit with a fixed exchange rate? The exchange rate is only one component in the overall competitiveness of the economy. Structural reforms in the public sector and various institutions; infusion of management and marketing skills; innovation; a functioning financial system; new inputs (equipment, information technology, intellectual property under license); focused and up-to- date training and re-skilling; better access to core export markets; the economic conditions in these export markets; level and relevance of the workforce's education; mentality and ethos - all these are as important as the exchange rate alone. Germany and Japan had overvalued currencies for decades and still were able to achieve prosperity and dominate international trade.
Views: 10359 vakninmusings
Keeley Sees Foreign Exchange Reserves Risk for China
Sept. 16 (Bloomberg) -- Terry Keeley, senior managing principal of Sovereign Trends LLC, discusses the Bank of Japan's currency intervention and China's monetary policy. Keeley talks with Erik Schatzker on Bloomberg Television's "InsideTrack."
Views: 874 Bloomberg
Milton Friedman on Money / Monetary Policy (Federal Reserve) Part 1
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Views: 28569 BasicEconomics
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Views: 5450 banking info at tamil
What Does a Central Bank Do?
A central bank oversees a nation’s monetary system. With their ability to dictate the direction of an economy, central banks play a pivotal role in a country’s growth. In most cases, they are not a government agency, even though they serve their nation. Their responsibilities range widely, depending on their country. Central banks control monetary policy, which means they manipulate liquidity in the financial system to influence the economy. Their actions will determine currency stability, as well as the levels of inflation and employment. They also regulate banks, and provide services for a nation’s banks and its government. To control monetary policy, central banks issue currency and set interest rates on loans and bonds. Central banks raise interest rates to slow growth and avoid inflation. They’ll lower rates to spur growth. By establishing a reserve requirement, central banks dictate how much banks can loan to customers, and how much capital they must keep on hand. And when providing banking services for other banks and the government, central banks loan money to members and oversee their activity. They also manage foreign exchange reserves. In the United States, the central banking system is known as the Federal Reserve, commonly called the Fed. It includes 12 regional Federal Reserve Banks that are located throughout the country. It regulates banks, and it buys and sells Treasury bonds to set monetary policy and steer interest rates. Read more: http://www.investopedia.com/video/play/central-bank/ Copyright © Investopedia.com
Views: 20981 Xargo
Digital currencies: Implications for central banks
On April 17 from 2 to 3:30 pm at the Hutchins Center on Fiscal & Monetary Policy at Brookings, Eswar Prasad, Senior Fellow in the Global Economy at Brookings and professor at Cornell University, discussed a framework for thinking through these issues and reviewed how different central banks are responding to the changes and challenges they face. https://www.brookings.edu/events/digital-currencies-implications-for-central-banks/ (transcript available) Subscribe! http://www.youtube.com/subscription_center?add_user=BrookingsInstitution Follow Brookings on social media! Facebook: http://www.Facebook.com/Brookings Twitter: http://www.twitter.com/BrookingsInst Instagram: http://www.Instagram.com/brookingsinst LinkedIn: http://www.linkedin.com/com/company/the-brookings-institution
Views: 2575 Brookings Institution
Foreign exchange reserves are reserve assets held by a central bank in foreign currencies, used to back liabilities on their own issued currency as well as to influence monetary policy.
Foreign Exchange Practice- Macro Practice- Macro 5.3
In this video I explain foreign exchange and how the value of currencies change. Remember that the trick is to remember that you supply your currency and the people in other countries demand your currency. Thanks for watching.
Views: 240935 Jacob Clifford
How Exchange Rates Work
● We explain topics simply. So Subscribe if you want to learn while being entertained. ✔ Please like the video and comment if you enjoyed - it helps a lot! ▶ If you want a question answered then ask in the comments and we may make a video about it! About the video: You may have traveled a lot and wondered why you get more of one currency when you exchange it for another. If so, you have witnessed exchange rates in action, but do you know how they work? Watch the video to find out what exchange rates are, how to convert between them and the different systems which determine a currencies exchange rate. Historically the gold standard system had been used, which fixed currency to a select value of gold, held in a vault. The three main systems are the floating, managed and fixed exchange rate systems. The floating system has minimal government intervention, using supply and demand to determine the exchange rate. The managed exchange rate is allowed to be within a permitted band and a fixed exchange rate is usually pegged to a currency with the interest of being competitive in the international market. The video explains this in more detail and with helpful picture to guide you through the subject.
Views: 461176 SimplyExplain
The Determinants of Exchange Rates in a Floating Exchange Rate System
To understand how a country's currency might appreciate or depreciate, you must understand the variable that can affect demand or supply for the currency on the forex market. This lesson will introduce a useful acronym (TIPSY) for remembering the determinants of exchange rates, and evaluate the advantages and disadvantages of floating exchange rate systems. Want to learn more about economics, or just be ready for an upcoming quiz, test or end of year exam? Jason Welker is available for tutoring, IB internal assessment and extended essay support, and other services to support economics students and teachers. Learn more here! http://econclassroom.com/?page_id=5870
Views: 32874 Jason Welker
Foreign Exchange (FOREX)- Macro 5.2
Mr. Clifford explains the market for foreign exchange and national currencies. If you want more practice watch this video: https://www.youtube.com/watch?v=9DVYVfI81R8
Views: 488917 Jacob Clifford
MMT: Why Do Governments That Issue Their Own Currency Bother To Sell Bonds?
Professor L. Randall Wray on why a government with a sovereign non-convertible currency might choose to issue bonds. Bond sales are not a borrowing operation for the state. Logically, since the dollar is a liability (an IOU) of the government, it's impossible for the government to borrow back dollars, just like it would be impossible for you to borrow back your own student loan debt, or for Pizza Hut to borrow back its own coupons. Rather, a bond sale is just a swap of one government-issued asset (cash) for another (bonds) which pays interest. It doesn't change the amount of assets or liabilities out there, only the form. A government that issues its own non-convertible currency does not need to sell bonds in order to spend. This is because it issues the currency every time it spends (and destroys the currency when it taxes). The main reason such a government might want to sell bonds is because of its effects on interest rates. If the government is running a deficit, then it is creating more money than it destroys through taxes. This means that the banking system will have excess reserves, more than they need to settle inter-bank payments and meet reserve requirements. Normally, banks don't want to hold excess reserves, they'd rather purchase some other higher-interest-earning asset. So they will take the excess reserves and try and loan them to other banks (note that they cannot loan them to the public. That would be impossible, because the public does not have accounts at the Fed, and reserves only exist in accounts at the Fed). The market for interbank loans is called the "Federal Funds market" in the United States. The system-wide position of excess reserves, that everybody is trying to get rid of but nobody wants, will drive interest rates down, potentially to zero. If the central bank doesn't want to have a zero overnight interest rate, if they prefer a higher rate target, then they need to drain the excess reserves, and the government does this by selling bonds and destroying the reserves. (And it's identical whether it's the Fed or the Treasury doing the selling.) The government does not need to do this. They could simply leave excess reserves in the banking system, and then have a permanent zero overnight interest rate. Or, they could stop selling bonds, but raise the interest rate by directly paying interest on reserves, because no bank will lend out reserves for less interest than they could get by simply leaving them parked in its Fed account. So, bond sales are actually part of a monetary policy operation to sustain an interest rate higher than the interest rate paid on bank reserves (which is usually zero). A government might also offer bonds to its citizens if it would like to give them risk-free interest income. (For a government that manages its exchange rate, such as through a gold standard, the government may be forced to sell bonds in order to maintain the exchange rate peg. This is because savings held in currency is eligible to be converted to the gold or pegged currency, while savings held in bonds is not. So the government can sell bonds to take pressure off of its exchange rate, and prevent it from running out of foreign currency (or gold) reserves.) See the whole lecture here: https://www.youtube.com/watch?v=i35uBVeNp6c Like Deficit Owls on Facebook: https://www.facebook.com/DeficitOwls/
Views: 8328 Deficit Owls
Reserve Bank of Zimbabwe announces 2018 Monetary Policy
Zimbabwe's 2018 monetary policy comes at a time when the nation is facing renewed hope - Dr Mangudya
Views: 3406 Zimpapers Digital
Explaining SDRs (Special Drawing Rights)
The Special Drawing Right or SDR is an international reserve asset created by the IMF to supplement the official reserves of its member countries and can be exchanged for freely usable currencies. For more from the IMF visit: http://fora.tv/imf
Views: 37227 FORA.tv
Pakistan foreign reserves decrease in last week, says state bank of Pakistan
Pakistan foreign reserves decrease in last week, says state bank of Pakistan
Views: 123 24/7 Urdu News
Exchange Rate System | External Sector | Indian Economy | ECONOMY GURU | NEO IAS
INDIAN ECONOMY FOR PRELIMS IN 100 HOURS Video Link : https://youtu.be/NQgMFNCmwkA HOW TO PREPARE INDIAN ECONOMY FOR UPSC CSE PRELIMS 2018? https://youtu.be/A-acqr7u74A BITS ECONOMY Video Link : https://youtu.be/tJkAiJNtvF0 Economy Prelims Telegram Channel - https://goo.gl/DAo5zp To Know more about Economy Guru : https://goo.gl/zwrHiE Exchange Rate System of Indian Economy for CIVIL SERVICES EXAMINATION explained in the simplest way. NEO IAS e-learning classes is an online program which aims to create CIVIL SERVANTS for the development of the nation by providing the video series of complete topics that are relevant for the CIVIL SERVICES (IAS/IPS) Exam.
Views: 43111 NEO IAS
L6/P7: Chinese Forex Reserve, Undervalued Yuan & Merchantile Policy: How?
Language: Hindi, Topics Covered: 1. How does China’s Mercantile policy and labour abuse help getting trade surplus? 2. How does China keep its yuan undervalued? 3. How did China buildup large forex reserve nearly $ 4 trillion? 4. What are the advantages and challenges in maintaining a large forex reserve? 5. Economic survey has recommended India to build a forex reserve worth 750 billion to $ 1 trillion through current account surplus- how can we do that? 6. How can large forex is a help us in soft diplomacy and project exports? Powerpoint available at http://Mrunal.org/download Exam-Utility: UPSC CSAT, Prelims, Mains, CDS, CAPF, Bank, RBI, IBPS, SSC and other competitive exams, IIM, XLRI, MBA interviews and GDPI Faculty Name: Mrunal Patel Venue: Sardar Patel Institute of Public Administration (SPIPA), Satellite, Ahmedabad, Gujarat,India
Views: 68400 Mrunal Patel
Global Spillovers: Managing Capital Flows & Forex Reserves by Dr. Viral Acharya, RBI
A keynote address by Dr. Viral Acharya, Deputy Governor, RBI at NSE-NYU Conference on Indian Financial Markets on Dec 14, 2017
Debt, the Economy, Federal Reserve & Interest Rates: Alan Greenspan on Monetary Policy (2003)
"The rate at which the central bank lends money can indeed be chosen at will by the central bank; this is the rate that makes the financial headlines." – Henry C.K. Liu.[20] Liu explains further that "the U.S. central-bank lending rate is known as the Fed funds rate. The Fed sets a target for the Fed funds rate, which its Open Market Committee tries to match by lending or borrowing in the money market ... a fiat money system set by command of the central bank. The Fed is the head of the central-bank because the U.S. dollar is the key reserve currency for international trade. The global money market is a USA dollar market. All other currencies markets revolve around the U.S. dollar market." Accordingly the U.S. situation is not typical of central banks in general. A typical central bank has several interest rates or monetary policy tools it can set to influence markets. Marginal lending rate (currently 0.30% in the Eurozone[21]) – a fixed rate for institutions to borrow money from the central bank. (In the USA this is called the discount rate). Main refinancing rate (0.05% in the Eurozone[21]) – the publicly visible interest rate the central bank announces. It is also known as minimum bid rate and serves as a bidding floor for refinancing loans. (In the USA this is called the federal funds rate). Deposit rate, generally consisting of interest on reserves and sometimes also interest on excess reserves (-0.20% in the Eurozone[21]) – the rates parties receive for deposits at the central bank. These rates directly affect the rates in the money market, the market for short term loans. Through open market operations, a central bank influences the money supply in an economy. Each time it buys securities (such as a government bond or treasury bill), it in effect creates money. The central bank exchanges money for the security, increasing the money supply while lowering the supply of the specific security. Conversely, selling of securities by the central bank reduces the money supply. Open market operations usually take the form of: Buying or selling securities ("direct operations") to achieve an interest rate target in the interbank market . Temporary lending of money for collateral securities ("Reverse Operations" or "repurchase operations", otherwise known as the "repo" market). These operations are carried out on a regular basis, where fixed maturity loans (of one week and one month for the ECB) are auctioned off. Foreign exchange operations such as foreign exchange swaps. All of these interventions can also influence the foreign exchange market and thus the exchange rate. For example the People's Bank of China and the Bank of Japan have on occasion bought several hundred billions of U.S. Treasuries, presumably in order to stop the decline of the U.S. dollar versus the renminbi and the yen. All banks are required to hold a certain percentage of their assets as capital, a rate which may be established by the central bank or the banking supervisor. For international banks, including the 55 member central banks of the Bank for International Settlements, the threshold is 8% (see the Basel Capital Accords) of risk-adjusted assets, whereby certain assets (such as government bonds) are considered to have lower risk and are either partially or fully excluded from total assets for the purposes of calculating capital adequacy. Partly due to concerns about asset inflation and repurchase agreements, capital requirements may be considered more effective than reserve requirements in preventing indefinite lending: when at the threshold, a bank cannot extend another loan without acquiring further capital on its balance sheet. Historically, bank reserves have formed only a small fraction of deposits, a system called fractional reserve banking. Banks would hold only a small percentage of their assets in the form of cash reserves as insurance against bank runs. Over time this process has been regulated and insured by central banks. Such legal reserve requirements were introduced in the 19th century as an attempt to reduce the risk of banks overextending themselves and suffering from bank runs, as this could lead to knock-on effects on other overextended banks. See also money multiplier. As the early 20th century gold standard was undermined by inflation and the late 20th century fiat dollar hegemony evolved, and as banks proliferated and engaged in more complex transactions and were able to profit from dealings globally on a moment's notice, these practices became mandatory, if only to ensure that there was some limit on the ballooning of money supply. Such limits have become harder to enforce. The People's Bank of China retains (and uses) more powers over reserves because the yuan that it manages is a non-convertible currency. http://en.wikipedia.org/wiki/Central_bank
Views: 982 Way Back
Boris and Kathy Forex Weekly - 18-06-2018 - Majors
The U.S. dollar is on a tear as it reaches for 6 to 12 month highs against other major currencies. While the Federal Reserve and European Central Bank’s monetary policy announcements were the biggest events of the week, the U.S.’ trade war with the rest of world is having a greater impact on currencies. Although many people feared that a trade war would exacerbate the dollar’s troubles and reduce demand for the greenback, it instead sent the dollar soaring as investors interpret Trump’s aggressive trade actions as short term trouble for countries he’s singling out.
Views: 475 Pepperstone
Why Does the Central Bank Raise Interest Rates? Alan Greenspan on Monetary Policy (2000)
Central banks implement a country's chosen monetary policy. At the most basic level, this involves establishing what form of currency the country may have, whether a fiat currency, gold-backed currency (disallowed for countries with membership of the International Monetary Fund), currency board or a currency union. When a country has its own national currency, this involves the issue of some form of standardized currency, which is essentially a form of promissory note: a promise to exchange the note for "money" under certain circumstances. Historically, this was often a promise to exchange the money for precious metals in some fixed amount. Now, when many currencies are fiat money, the "promise to pay" consists of the promise to accept that currency to pay for taxes. A central bank may use another country's currency either directly (in a currency union), or indirectly (a currency board). In the latter case, exemplified by Bulgaria, Hong Kong and Latvia, the local currency is backed at a fixed rate by the central bank's holdings of a foreign currency. The expression "monetary policy" may also refer more narrowly to the interest-rate targets and other active measures undertaken by the monetary authority. Frictional unemployment is the time period between jobs when a worker is searching for, or transitioning from one job to another. Unemployment beyond frictional unemployment is classified as unintended unemployment. For example, structural unemployment is a form of unemployment resulting from a mismatch between demand in the labour market and the skills and locations of the workers seeking employment. Macroeconomic policy generally aims to reduce unintended unemployment. Keynes labeled any jobs that would be created by a rise in wage-goods (i.e., a decrease in real-wages) as involuntary unemployment: Men are involuntarily unemployed if, in the event of a small rise in the price of wage-goods relatively to the money-wage, both the aggregate supply of labour willing to work for the current money-wage and the aggregate demand for it at that wage would be greater than the existing volume of employment. —John Maynard Keynes, The General Theory of Employment, Interest and Money p11 Although the perception by the public may be that the "central bank" controls some or all interest rates and currency rates, economic theory (and substantial empirical evidence) shows that it is impossible to do both at once in an open economy. Robert Mundell's "impossible trinity" is the most famous formulation of these limited powers, and postulates that it is impossible to target monetary policy (broadly, interest rates), the exchange rate (through a fixed rate) and maintain free capital movement. Since most Western economies are now considered "open" with free capital movement, this essentially means that central banks may target interest rates or exchange rates with credibility, but not both at once. In the most famous case of policy failure, Black Wednesday, George Soros arbitraged the pound sterling's relationship to the ECU and (after making $2 billion himself and forcing the UK to spend over $8bn defending the pound) forced it to abandon its policy. Since then he has been a harsh critic of clumsy bank policies and argued that no one should be able to do what he did. The most complex relationships are those between the yuan and the US dollar, and between the euro and its neighbours. The situation in Cuba is so exceptional as to require the Cuban peso to be dealt with simply as an exception, since the United States forbids direct trade with Cuba. US dollars were ubiquitous in Cuba's economy after its legalization in 1991, but were officially removed from circulation in 2004 and replaced by the convertible peso. The main monetary policy instruments available to central banks are open market operation, bank reserve requirement, interest rate policy, re-lending and re-discount (including using the term repurchase market), and credit policy (often coordinated with trade policy). While capital adequacy is important, it is defined and regulated by the Bank for International Settlements, and central banks in practice generally do not apply stricter rules. To enable open market operations, a central bank must hold foreign exchange reserves (usually in the form of government bonds) and official gold reserves. It will often have some influence over any official or mandated exchange rates: Some exchange rates are managed, some are market based (free float) and many are somewhere in between ("managed float" or "dirty float"). By far the most visible and obvious power of many modern central banks is to influence market interest rates; contrary to popular belief, they rarely "set" rates to a fixed number. Although the mechanism differs from country to country, most use a similar mechanism based on a central bank's ability to create as much fiat money as required. http://en.wikipedia.org/wiki/Central_bank
Views: 487 Way Back
Exchange Rate System in India and its Types - Indian Economy for Prelims 2018
You can join my Live classes on Economy here: https://goo.gl/urfp1H In this lesson, Ayussh explains the exchange rate system and its types. This is an important concept to understand under Indian Economy for UPSC 2018 preparation. An exchange rate regime is the way an authority manages its currency in relation to other currencies and the foreign exchange market. Between the two limits of fixed and freely floating exchange regimes, there can be several other types of regimes. In their operational objective, it is closely related to the monetary policy of the country with both depending on common factors of influence and impact. The exchange system in India has a big impact on world trade and financial flows. The volume of such transactions and the speed at which they are growing makes the exchange rate regime a central piece of Indian Economy. Download the Unacademy Learning App here: Android: https://goo.gl/02OhYI iOS: https://goo.gl/efbytP Download the Unacademy Educator App here: Android: https://goo.gl/H4LGHE iOS: https://goo.gl/1FkFHp Do Subscribe and be a part of the community for more such lessons here: https://goo.gl/gycFVs
Views: 18824 Unacademy
Everything  About Reserve Bank of India  English {हिंदी}  by Th. Vikas Tomar
RBI as Monetary Authority of India RBI works as the monetary authority of India and there by operates the monetary policy. Monetary policy refers to an umbrella of operations used for the control of money supply in the economy with broad objective to maintain economic and financial stability; and ensure adequate financial resources for the purpose of development. More about this can be read here RBI as Issuer of Currency As per the provisions of the Section 22 of the Reserve Bank of India Act 1934, Reserve Bank of India has the sole right to issue Bank notes of all denominations. Read in detail here. RBI as Banker and Debt Manager to the Government Central Government entrusts the Reserve Bank with all its money, remittance, exchange and banking transactions in India and the management of its public debt. The Government also deposits its cash balances with the Reserve Bank. Read in detail here. Ways and Means Advances Further, whenever there is a temporary mismatch in the cash flow of the receipts and payments of the State Governments, RBI provides them Ways and Means Advances (WMA). RBI helps both the central government and state governments to manage their public debt, float new loans, issue and retirement of rupee loans, interest payment on the loan and operational matters about debt certificates and their registration. RBI’s debt management policy aims at minimizing the cost of borrowing, reducing the roll-over risk, smoothening the maturity structure of debt, and improving depth and liquidity of Government securities markets by developing an active secondary market. RBI as Banker of Banks RBI is bank of all banks in India. The other banks keep their current accounts with RBI and RBI helps them in maintaining statutory reserves with itself. RBI also enables the environment for swift and smooth inter-bank transactions. Read more here RBI as a regulator and supervisor of financial system One of the most important functions of RBI is to work as regulator and supervisor of financial system. RBI not only regulates and supervises the Indian Banks (details here) but also Foreign Banks (detail here), Regional Rural Banks, Local Area Banks, Cooperative Banks, Financial Institutions including Development Financial Institutions (DFIs) and Non-Banking Financial Companies. Management of foreign exchange reserves RBI manages the Foreign Exchange Management Act, 1999 to facilitate external trade and payment and promote orderly development and maintenance of foreign exchange market in India. Details here Developmental & Promotional roles Apart from the above, RBI performs a wide range of promotional functions to support national objectives. Fully owned: Deposit Insurance and Credit Guarantee Corporation of India(DICGC), Bharatiya Reserve Bank Note Mudran Private Limited(BRBNMPL) · Other Important facts related to RBI: Reserve Bank of India Act passed in 1934. Reserve Bank of India (RBI) established on 1 April 1935. Reserve Bank of India (RBI) established on the recommendation of Hilton-Young Commission. RBI is the sole authority in India to issue Bank notes in India. Emblem of RBI: Panther and Palm Tree. Chintaman Dwarkanath Deshmukh (C D Deshmukh) was the governor of RBI at the Time of nationalization of RBI in 1949. 1st women Deputy Governor of RBI -K.J.Udeshi. RBI is not expected to perform the function of accepting deposits from the general public The first Governor of the Reserve Bank of India from 01.04.1935 to 30.06.1937 was Sir Osborne Smith RBI decides the following rates namely; Bank rate, repo rate, reverse repo rate and cash reserve ratio. Everything You Want To Know About RBI Governor -~-~~-~~~-~~-~- Please watch: "Solve Any Question of Maths in seconds with Magical Tricks By Abhinay sharma sir" https://www.youtube.com/watch?v=EuMAnJ7uFOA -~-~~-~~~-~~-~-
Views: 10428 Govt Jobs Academy
Episode 72: Reserve Requirements
Help us learn more about your experience by completing this short survey: https://www.surveymonkey.com/r/RRKS8LZ Subscribe to Alanis Business Academy on YouTube for updates on the latest videos: https://www.youtube.com/alanisbusinessacademy?sub_confirmation=1 Go Premium for only $9.99 a year and access exclusive ad-free videos from Alanis Business Academy. Click here for a 14 day free trial: http://bit.ly/1Iervwb To view additional video lectures as well as other materials access the following links: YouTube Channel: http://bit.ly/1kkvZoO Website: http://bit.ly/1ccT2QA Facebook: http://on.fb.me/1cpuBhW Twitter: http://bit.ly/1bY2WFA Google+: http://bit.ly/1kX7s6P SoundCloud: http://bit.ly/1hNcJ2k Reserve requirements--also referred to as a reserve ratio--is a tool used by the Federal Reserve to control the supply of money. Although reserve requirements haven't been changed for quite some time, they still represent a primary method by which the Fed manages monetary policy.
PBOC cites intervene in forex reserve
The People's Bank of China (PBOC) said on Tuesday that its intervention in the forex market was one of the reasons for the fall in China's foreign exchange reserves and any future fluctuations would be "normal." Subscribe to us on Youtube: https://www.youtube.com/user/CCTVNEWSbeijing Download for IOS: https://itunes.apple.com/us/app/cctvnews-app/id922456579?l=zh&ls=1&mt=8 Download for Android: https://play.google.com/store/apps/details?id=com.imib.cctv Follow us on: Facebook: https://www.facebook.com/cctvnewschina Twitter: https://twitter.com/CCTVNEWS Google+: https://plus.google.com/+CCTVNEWSbeijing Tumblr: http://cctvnews.tumblr.com/ Weibo: http://weibo.com/cctvnewsbeijing
Views: 316 CGTN
4 April - Forex Markets with Nema Ramkhelawan
(www.abndigital.com) Alishia Seckam speaks with Nema Ramkhelawan, Currency Analyst at RMB, looking at: Resilience of rand countering the rising fuel costs; Trading of rand between R6.55 and R6.75 to the dollar; Forex reserves data from SA Reserve Bank; US and ECB monetary policy.
Views: 138 CNBCAfrica
Money supply and demand impacting interest rates | Macroeconomics | Khan Academy
Examples showing how various factors can affect interest rates Watch the next lesson: https://www.khanacademy.org/economics-finance-domain/macroeconomics/income-and-expenditure-topic/MPC-tutorial/v/mpc-and-multiplier?utm_source=YT&utm_medium=Desc&utm_campaign=macroeconomics Missed the previous lesson? https://www.khanacademy.org/economics-finance-domain/macroeconomics/monetary-system-topic/interest-price-of-money-tutorial/v/interest-as-rent-for-money?utm_source=YT&utm_medium=Desc&utm_campaign=macroeconomics Macroeconomics on Khan Academy: Topics covered in a traditional college level introductory macroeconomics course About Khan Academy: Khan Academy offers practice exercises, instructional videos, and a personalized learning dashboard that empower learners to study at their own pace in and outside of the classroom. We tackle math, science, computer programming, history, art history, economics, and more. Our math missions guide learners from kindergarten to calculus using state-of-the-art, adaptive technology that identifies strengths and learning gaps. We've also partnered with institutions like NASA, The Museum of Modern Art, The California Academy of Sciences, and MIT to offer specialized content. For free. For everyone. Forever. #YouCanLearnAnything Subscribe to Khan Academy's Macroeconomics channel: https://www.youtube.com/channel/UCBytY7pnP0GAHB3C8vDeXvg Subscribe to Khan Academy: https://www.youtube.com/subscription_center?add_user=khanacademy
Views: 263111 Khan Academy