Bài giảng Kinh tế vĩ mô - Chương 18: Cung tiền và cầu tiền - Phan Thế Công

Nội dung text: Bài giảng Kinh tế vĩ mô - Chương 18: Cung tiền và cầu tiền - Phan Thế Công

1. 04/01/2016 Money holdings over the year Money holdings N = 1 Y Average = Y/ 2 1 Time CHƯƠNG 18 Cung tiền và cầu tiền slide 30 Money holdings over the year Money holdings N = 2 Y Y/ 2 Average = Y/ 4 1/2 1 Time CHƯƠNG 18 Cung tiền và cầu tiền slide 31 Money holdings over the year Money holdings N = 3 Y Average Y/ 3 = Y/ 6 1/3 2/3 1 Time CHƯƠNG 18 Cung tiền và cầu tiền slide 32 11
2. 04/01/2016 The cost of holding money . In general, average money holdings = Y/2N . Foregone interest = i (Y/2N ) . Cost of N trips to bank = F N . Thus, Y total cost = i F N 2N . Given Y, i, and F, consumer chooses N to minimize total cost CHƯƠNG 18 Cung tiền và cầu tiền slide 33 Finding the cost-minimizing N Cost Foregone interest = iY/2N Cost of trips = FN Total cost N* N CHƯƠNG 18 Cung tiền và cầu tiền slide 34 Finding the cost-minimizing N Y total cost = i F N 2N . Take the derivative of total cost with respect to N, set it equal to zero: i Y F 0 2N 2 . Solve for the cost-minimizing N* i Y N * 2F CHƯƠNG 18 Cung tiền và cầu tiền slide 35 12
3. 04/01/2016 The money demand function i Y . The cost-minimizing value of N : N * 2F . To obtain the money demand function, plug N* into the expression for average money holdings: YF average money holding 2i . Money demand depends positively on Y and F, and negatively on i. CHƯƠNG 18 Cung tiền và cầu tiền slide 36 The money demand function . The Baumol-Tobin money demand function: YF (M/,, P )d = L ( i Y F ) 2i How this money demand function differs from previous chapters: . B-T shows how F affects money demand. . B-T implies: income elasticity of money demand = 0.5, interest rate elasticity of money demand = 0.5 CHƯƠNG 18 Cung tiền và cầu tiền slide 37 EXERCISE: The impact of ATMs on money demand During the 1980s, automatic teller machines became widely available. How do you think this affected N* and money demand? Explain. CHƯƠNG 18 Cung tiền và cầu tiền slide 38 13
4. 04/01/2016 Financial Innovation, Near Money, and the Demise of the Monetary Aggregates . Examples of financial innovation: . many checking accounts now pay interest . very easy to buy and sell assets . mutual funds are baskets of stocks that are easy to redeem - just write a check . Non-monetary assets having some of the liquidity of money are called near money. . Money & near money are close substitutes, and switching from one to the other is easy. CHƯƠNG 18 Cung tiền và cầu tiền slide 39 Financial Innovation, Near Money, and the Demise of the Monetary Aggregates . The rise of near money makes money demand less stable and complicates monetary policy. . 1993: the Fed switched from targeting monetary aggregates to targeting the Federal Funds rate. . This change may help explain why the U.S. economy was so stable during the rest of the 1990s. CHƯƠNG 18 Cung tiền và cầu tiền slide 40 Chapter Summary 1. Fractional reserve banking creates money because each dollar of reserves generates many dollars of demand deposits. 2. The money supply depends on the . monetary base . currency-deposit ratio . reserve ratio 3. The Fed can control the money supply with . open market operations . the reserve requirement . the discount rate CHƯƠNG 18 Cung tiền và cầu tiền CHAPTER 18 Money Supply and Money Demand slide 41 14
5. 04/01/2016 Chapter Summary 4. Portfolio theories of money demand . stress the store of value function . posit that money demand depends on risk/return of money & alternative assets 5. The Baumol-Tobin model . a transactions theory of money demand, stresses “medium of exchange” function . money demand depends positively on spending, negatively on the interest rate, and positively on the cost of converting non-monetary assets to money CHƯƠNG 18 Cung tiền và cầu tiền CHAPTER 18 Money Supply and Money Demand slide 42 15