货币金融学英文课件Lecture.ppt

Lecturer ZhengYiYanWenyeTime 2 00pm 4 30pm Semester1 2009 2010 1 2 WhyMoneyandBanking MoneyandBankingisanexcitingfieldofgreatimportanceWhathappensinthebankingsystemandfinancialmarketcanaffectanation soveralleconomyandpeople sdailylifegreatlyinmanyways 1 3 GlobalFinancialCrisis Sep15 2008 USfourthinvestmentbank LehmanBrotherwentbankrupt Jobloss gohomeSADILY 1 4 GlobalFinanceCrisis 1 5 1 6 BlackMonday Oct6 2008 1 7 JobLoss Everywhere 40 000JobLossinWallStreetintheUS tomakealiving theyaredoingacrobaticsonthestreet InUK unemploymentrateraisestothehighestrecordof3 8 forthepastofnineyears InAustralia unemploymentclimbsto4 8 InRussia 1 7millionisnowunderunemployment 1 8 JobFairof2009 China 1 9 FinancialCrisishascausedgreatconcerntothegovernmentsintheworld Headache WhattoDO C China s4trillionyuantostimulateeconomy US s 780billionstimuluspackage 1 10 GlobalFinancialCrisis 5 29 2008 Thefifthinvestmentbank BearStearns 贝尔斯登 wastakenbyJPMorgen 9 7 2008 TwoGovernmentSponsoredEnterprise FennieMae 房利美 andFeddieMac 房地美 wastakenoverbyUSgovernment 9 14 2008 MerrillLynch 美林 wasselltoBankofAmericawithUS 50billion9 15 2008 LehmanBrotherwentbankrupt9 17 2008 ThebiggestinsurancecompanyAIG AmericanInternationalGroup wastakenoverbyUSgovernmentandfilledwithUS 85billionofrescuefund 9 22 2008 MorganStanley 摩根斯坦利 andGoldmanSachs 高盛 weretransformedtobebank holdingcompanies 9 26 2008 FDIC FederalDepositInsuranceCorporation wastakeoverbythegovernment 10 6 2009 BlackMonday ofglobalstockmarkets10 7 2009 governmentsofmajoreconomiesstarttocutinterestratetoboosttheworldmarkets Over160banksbecameinsolventintheUSbetween2008and2009 1 11 FacingFinancialCrisis FirstG 20LeadersSummitonFinancialMarketsandWorldEconomy November14 15 2008 Washington D C reachedacommonunderstandingoftherootcausesoftheglobalcrisis reviewedactionscountrieshadtakenandwouldtakeinthefuturetoaddresstheimmediatecrisisandstrengthengrowth agreedoncommonprinciplesforreformingtheirfinancialmarkets launchedanactionplantoimplementthoseprinciplesandaskedministerstodevelopfurtherspecificrecommendationsthatwouldbereviewedbyleadersatasubsequentsummit andreaffirmedtheircommitmenttofreemarketprinciples 1 12 FacingFinancialCrisis SecondG 20Summit April2 2009 LondonUS 500billionfortheIMFtoaidstrugglingeconomies US 250billiontoboostworldtradeUS 250billionforanewIMFoverdraftfacility US 100billiontoassistinternationaldevelopmentbanksinlendingtopoorcountries ThenextG 20SummittookplaceonSeptember24 25 2009 Pittsburgh USaproposaltoradicallyreformtheInternationalMonetaryFundOneofthemajorannouncementsofthemeetingwasthatthegroupwillbecomethenewpermanentcouncilforinternationaleconomiccooperation ThismeansthatthemuchlargerG 20meetingwillessentiallyreplacethesmallerG8 whichwillcontinuetomeetonmajorsecurityissuesbutwillcarryreducedinfluenceTheBattleagainstFinancialCrisisandEconomicRecessisstillinggoingoninmanycountries 1 13 Whatcausedthefinancialcrisis Whatisthetruereasonbehind Whyoneeventinrealestatemarketscanleadtosuchahugemessonthefinancialmarketsallovertheworldandgoevenfurthertocauseaworldeconomyrecess WhatwaswrongintheUSeconomyandglobalfinancialsystem HowgreateffectwasthecrisistotheUSeconomyandothereconomies Whereistheeventualwayout 1 14 ObjectivesoftheCourse UnderstandwhatisMoney Itsmeaning types role andimportanceProvidesufficientunderstandingoftheconceptofInterestRate itstypes behavior role andimportanceintheeconomyExposestudentstowidevarietyofFinancialMarkets theirtypes functions roleandimportanceSoundunderstandingofthetoolsofMonetaryPolicy itsdeterminants conduct andimportanceStudyDemandforMoney Money Inflation Monetaristvs Keynesianviewsontheseissues 1 15 CourseOutlineRequiredText Mishkin F S 2006 TheEconomicsofMoney BankingandFinancialMarkets 8thed Approach 80 ofthetimeexplainthetopicsoftheday 20 time openfordiscussion classparticipation Assessment FinalExam 70 Tutorials Classparticipation30 1 16 AbouttheAuthor FredericS MishkinistheAlfredLernerProfessorofBankingandFinancialInstitutionsattheGraduateSchoolofBusiness ColumbiaUniversity SincereceivinghisPh D fromtheMassachusettsInstituteofTechnologyin1976 hehastaughtattheUniversityofChicago NorthwesternUniversity PrincetonUniversityandColumbia HehasalsoreceivedanhonoraryprofessorshipfromtheRenminUniversityofChina HisresearchfocusesonmonetarypolicyanditsimpactonfinancialmarketsandtheaggregateeconomyHehaspublishedover150papersinjournalsasAmericanEconomicReview JournalofPoliticalEconomy Econometrica QuarterlyJournalofEconomics JournalofFinance JournalofMonetaryEconomics 1 17 Syllabus PartIIntroduction1 Whystudymoney banking andfinancialmarkets 2 AnoverviewoftheFinancialsystem3 Whatismoney PartIIFinancialMarkets4 Understandinginterestrates5 Behaviorofinterestrate6 RiskandtermstructureofinterestratesPartIIIFinancialInstitutions9 Bankingfirmandmanagementoffinancialinstitutions10 Bankingindustry structureandcompetition11 Economicanalysisofbankingregulation 1 18 PartIVCentralBankingandConductofMonetaryPolicy14 Structureofcentralbanksandfederalreservesystem ReadingOnly 15 MultipleDepositCreationandMoneysupplyprocess16 Determinantsofmoneysupply17 ToolsofMonetaryPolicy18 ConductofMonetarypolicy GoalsandTargets ReadingOnly PartVIMonetaryTheory22 Demandformoney23 KeynesianFrameworkandIS LMModel25 AggregateDemandandAggregateSupplyModel 1 19 Sources www aw Chapter1 WhyStudyMoney Banking andFinancialMarkets 1 21 FinancialSystem InthisCoursewewillstudyhowFinancialMarkets Institutionsworkandwillexploretheroleofmoneyintheeconomy FinancialMarkets BondMarketStockMarketForeignExchangeMarketOtherMarkets FinancialInstitutions CharteredBanksTrust MortgageCompaniesCreditUnionsInsuranceCompaniesMutualFundCompaniesOtherCompanies 1 22 FunctionsofFinancialSystem 1 23 WhyFinancialMarkets FinancialMarketshelpintransferringfundsfrompeoplewithexcessfundstopeoplewithproductiveuseandideasbuthaveashortageoffunds Theyhavesignificantimpactonourdailylifeastheyareinvolvedinhugeflowoffundinoureconomy FinancialmarketswillaffectEfficiencyofeconomybyreallocatingthefinancialresourcesBusinessprofitsEconomicwellbeingofothercountries 1 24 WellfunctioningFinancialMarketsareakeyfactorinproducinghigheconomicgrowthPoormanagementofFinancialMarketsisonereasonthatmanycountriesremaindesperatelypoorFinancialmarketactivitiesalsohavedirecteffectsonpersonalwealththebehaviorofbusinessandconsumerscyclicalperformanceoftheeconomy 1 25 1stMarket BondMarket A Security ora FinancialInstrument isaclaimonissuer sfutureincomeorasset e g anyfinancialclaimorpieceofpropertyowned ABondisadebtsecurity apromisetomakepaymentsperiodicallyforaspecificperiodoftimeBondMarketistypicallyimportantforeconomicactivity ItenablescorporationsandgovernmentstoborrowtofinancetheiractivitiesItistheBondMarketwhereInterestRatesaredetermined 1 26 WhatisInterestRates Itisthecostofborrowingorthepricepaidfortherentaloffunds Therearenumberofdifferentinterestrates e g mortgageinterestrate carloanrates houseloanrates andbondrates Changesininterestrateshaveimportanteffectsonindividuals financialinstitutions businesses andtheoveralleconomy HighinterestratediscouragesconsumptionButencouragessavingsCaninfluencebusinessdecisionsonsamegroundsandthusretardeconomicactivity affectemploymentandsoonandforth 1 27 AfurtherlookatBondMarketwillbeinChapter2 4 5 6 1 28 2ndMarket StockMarket AplacewherestocksaretradedWhatisastock AshareofownershipinacorporationItisaclaimontheearnings assetsofthecorporationItisawaytofinancecorporation sactivities 1 29 ThestockmarketisthemostwidelyfollowedfinancialmarketinalmosteverynationItisaplacewherepeoplecangetrichorpoorquickly on BlackMonday Oct19 1987 DowJonesfellby22 withthecollapseoftheinternetbubblein2000 thestockmarketdroppedbyover30 andsomestocksdroppedmorethan90 bylate2002 OnOct6 2008 DowJonesfellby800pointtothelevelofbelow10 000Thesefluctuationsinstockpricesaffectpeople swealthandcaneffecttheirwillingnesstospendThestockmarketisanimportantfactorinbusinessinvestmentdecisions becausethepriceofsharesaffectstheamountoffundsthatcanberaisedbysellingnewlyissuedstock IPO tofinanceinvestmentspending 1 30 USStockMarket 1950 2005 1 31 1 32 ChinaStockMarket 1992 2008 WeshallfollowupissuesonstockmarketinChapter2 7 1 33 3rdMarket ForeignExchangeMarket ThismarketisusedtotransferfundsfromonecountrytoanotherItisimportantbecauseitistheplacewhereexchangerate priceofonecurrencyintermsoftheother isdeterminedItisrelativepriceoftwocurrencyandthereforecanbequotedintwoways e g RMB US orUS RMB FluctuationsinexchangeratehavedirectimplicationsforaneconomyAppreciatedRMBisgoodforimportsbutnotsogoodforexportsStrongRMBbenefitconsumersbutexportsbecomemoreexpensiveforforeigners 1 34 1 35 WhyBankingandFinancialInstitutions FinancialsystemiscomplexandcompriseofmanydifferenttypesofprivatesectorfinancialinstitutionsFinancialIntermediaries institutionsthatborrowfundsfrompeoplewhohavesavedandmakeloanstootherpeopleBanks institutionsthatacceptdepositsandmakeloansOtherFinancialInstitutions insurancecompanies financecompanies pensionfunds mutualfundsandinvestmentbanksFinancialInnovation inparticular theadventoftheinformationageande finance 1 36 Chapter9 HowbanksandotherfinancialinstitutionmanagetheirassetsandliabilitiesChapter10 LookatbankingindustryChapter11 Understandwhybankregulationtakestheformitdoesandwhatcangowrongintheregulatoryprocess 1 37 WhyStudyMoneyandMonetaryPolicy Money alsoreferredasMoneysupply isdefinedasanythingthatisgenerallyacceptedinpaymentofgoodsandservices MoneyislinkedtothechangesineconomicvariablesthatarekeytothehealthoftheeconomyMoneyandBusinessCycleEvidencesuggeststhatmoneyplaysanimportantroleingeneratingbusinesscycles recession trough expansionandpeak Recessions unemployment andbooms inflation affectallofusMonetaryTheorytieschangesinthemoneysupplytochangesinaggregateeconomicactivityandthepricelevel 1 38 ShadedareasrepresentrecessionsTherateofmoneygrowthhasdeclinedbeforeeveryrecession indicatingthatchangesinmoneymightbeadrivingforcebehindBusinesscyclefluctuations 1 39 MoneyandInflation WhatisInflation ItistherateatwhichpricelevelchangesinaneconomyoveraspecificperiodoftimeItaffectsindividuals businesses andgovernment thusregardedasanimportantproblemtobesolved 1 40 Pricelevelandmoneysupplygenerallymovetogether 1 41 Datashowsaconnectionbetweenthemoneysupplyandthepricelevelfrom1950to2005 thepricelevelhasincreasedmorethansixfoldthepricelevelandthemoneysupplygenerallyrisetogether Inflationisusuallycausedbycontinuedincreaseinmoneysupply toomuchmoneychasingtoofewgoodsMiltonFriedman aNobelLaureate inflationisalwaysandeverywhereamonetaryphenomenon 1 42 MoneyGrowthandInflation FurtherEvidence AnecdotalevidenceshowthatCountrieswithhighgrowthofmoneysupplyhaveexperiencedhighinflationrates 1992 2004 1 43 MoneyandInterestRates Inadditiontootherfactors moneyplaysanimportantroleininterest ratefluctuationsInterestratesarethepriceofmoneyPriorto1980 therateofmoneygrowthandtheinterestrateonlong termTreasurybondswerecloselytiedSincethen therelationshipislessclearbutstillanimportantdeterminantofinterestrates 1 44 1 45 MoneyandMonetaryPolicy WhatisMonetaryPolicy ItisthemanagementofmoneyandinterestratesCentralBankisthemainresponsibleauthoritytomanagemonetarypolicyMoneyaffectalmostalltheeconomicvariablesItisamatterofconcernforpoliticianandpolicymakersthroughouttheworld 1 46 MonetaryPolicy MonetarypolicyisthemanagementofthemoneysupplyandinterestratesCentralbankisresponsibleforanation smonetarypolicyConductedintheUSbytheFederalReserveBankConductedinChinabythePeople sBankofChina 1 47 HowWeWillStudyMoney Banking andFinancialMarkets AsimplifiedapproachtothedemandforassetsTheconceptofequilibriumBasicsupplyanddemandtoexplainbehaviorinfinancialmarketsThesearchforprofitsAnapproachtofin