BMGT 110 Chapter Notes - Chapter 20: Savings And Loan Association, Telephone Card, Global Issue

• School: University of Maryland
• Department: Business and Management
• Course: BMGT 110
• Professor: All

Document Summary

Chapter 20: money, financial insituions, and the federal reserve. Fed=org in charge of us money, chair head=janet yellen. Economic growth & creaion of jobs relies on availability of money. What happens in major country"s economy afects other countries" economies. Money=anything people accept as payment for g/s, past was objects (cowrie shells) Barter=direct trade of g/s for other g/s, used online today. Barter exchange=put g/s into system +get trade credits for other g/s needed. ~portability easier to carry around and take to market. ~stability us dollar oten used a measure of value, all agree on value. ~uniqueness minted coins design so hard to copy. Coins may change cost us almost twice value to make penny and nickel. Money supply=amount of money the fed makes available for people to buy g/s. M-1=coins, paper bills, money available for wriing checks; accessed quick + easy. M-2=all of m1 + money in money market, mutual funds, cds; takes more ime to obtain.