How is money created and what gives it its value

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Answer each of the questions completely, make sure you use college-level writing. Partial points will be awarded if you happen to miss the nail, so be sure to fully explain your answers. Failing to do so could result in receiving a zero for that question. Feel free to print this out and write your answers, then scan the pages and upload them onto Canvas. Of course, you can just as easily type your answers in Word! If you have any questions, please let me know!

1. How is money created and what gives it its value?

2. What is the Fed, what do they do, and who owns them?

3. How is the supply of money changed, and are there any consequences to these changes?

4. What can you say about the relationship between the money supply and price levels?

5. What are some of the problems with conducting fiscal policy?

6. What are some of the problems with conducting monetary policy?

7. Explain the rational expectations theory and how it influences decision-making. What are some criticisms?

8. What are the impacts of tariffs, quotas, and subsidies on traded?

9. Would it be better to have a weak or strong U.S. Dollar?

Reference no: EM131482635

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