Banking 16: Why target rates vs. money supply

Students explore basic banking principles and the value of money as they probe into the lesson. The case of Gus Mahler is examined as students discover the money making dealings of the banking industry.

Where does money come from? If your class can't answer this question (beyond "my parents"), this presentation will be a timely and appropriate way to teach them. Details about currency, money supply, and the banking system, help explain...

In the context of a discussion about real wealth versus the representation of wealth (money), Sal explains the multiplier effect and how 1000 pieces of gold can become 2710 pieces of gold. Viewers will appreciate the annotations and...

Going deeper into the concept of the Federal Funds Rate, this video guides viewers through the process of inter-bank lending, much like the previous video (Banking 14). Sal's easygoing approach is simple to understand and fun to watch.

Taking viewers through the process of creating a reserve bank (Federal Reserve), Sal introduces the idea of government involvement in modern banking. Additionally, he explains the obligation of the government to cover the reserves, and...

Sal explains the concepts of bank notes in this video, leading viewers to the natural conclusion that his illustration looks a lot like a dollar bill - and therefore, one is very much like the other. Wealth creation and the Federal...

Posing a central question about how the economy can increase or decrease its money supply (5:00), Sal launches into a discussion about an expanding, or "elastic" money supply that can change along with its economy. Viewers will finally...

With bright, simple diagrams, Sal explains the role of the Federal Reserve as it relates to lending rates between banks. He discusses open market operations and the way the "Fed" connects to Congress and the U.S. Government.

What is the money multiplier, and how does it affect the total increase of money supply? Mr. Clifford explains the difference in how the money supply changes when the Federal Reserve System purchases bonds versus when an average person...

Take your learners through a virtual tour of the US mint to learn about currency, and then discover the role of the Federal Reserve as the nation's central bank. Readings will also provide an overview of banks and lending,...