Why Study Money Banking and Financial Markets参考.ppt

Chapter 1 Why Study Money, Banking, and Financial Markets? FIGURE 1 Interest Rates on Selected Bonds, 1950–2008 Sources: Federal Reserve Bulletin; /releases/H15/data.htm. FIGURE 2 Stock Prices as Measured by the Dow Jones Industrial Average, 1950–2008 Source: Dow Jones Indexes: /?u. FIGURE 4 Aggregate Price Level and the Money Supply in the United States, 1950–2008 Sources: /fred/data/gdp/gdpdef; /releases/h6/hist/h6hist10.txt. FIGURE 5 Average Inflation Rate Versus Average Rate of Money Growth for Selected Countries, 1997–2007 Source: International Financial Statistics. FIGURE 6 Money Growth (M2 Annual Rate) and Interest Rates (Long-Term U.S. Treasury Bonds), 1950–2008 Sources: Federal Reserve Bulletin, p. A4, Table 1.10; /releases/h6/hist/h6hist1.txt. FIGURE 7 Government Budget Surplus or Deficit as a Percentage of Gross Domestic Product, 1950–2008 Source: /usbudget/fy06/sheets/hist01z2.xls. FIGURE 8 Exchange Rate of the U.S. Dollar, 1970–2008 Source: Federal Reserve: /releases/H10/summary/indexbc_m.txt/. FIGURE 9 Federal Reserve Board Website FIGURE 10 Excel Spreadsheet with Interest-Rate Data FIGURE 11 Excel Graph of Interest-Rate Data * * * * Structure of Financial Markets Exchanges and Over-the-Counter (OTC) Markets Exchanges: NYSE, Chicago Board of Trade OTC Markets: Foreign exchange, Federal funds. Money and Capital Markets Money markets deal in short-term debt instruments Capital markets deal in longer-term debt and equity instruments. Table 1 Principal Money Market Instruments Table 2 Principal Capital Market Instruments Internationalization of Financial Markets (Glossary) Foreign Bonds: sold in a foreign country and denominated in that country’s currency Eurobond: bond denominated in a currency other than that of the country in which it is sold Eurocurrencies: foreign currencies deposited in banks outside the home country Eurodollars: U.S. dollars deposited in foreign banks outside the U.S. or in foreign branches of U.S. banks World Stock