This book focuses on the core issues in money and banking. By using simple applications for anyone that understands basic economics, the lessons in the book provide any student or reader with a background in how financial markets work, how banks as businesses function, how central banks make decisions, and how monetary policy affects the global economy.

Money and Banking is split into sections based on subject matter, specifically definitions and introductions, financial markets, microeconomic issues, macroeconomy policy, and international finance. It also covers:

- derivative and currency markets

- the microeconomics of banking

- trade and currency movements

- asymmetric information and derivative markets

- the future of financial markets and their participants

By providing a mix of microeconomic and macroeconomic applications, focusing on both international examples and open economy macroeconomics, this book reduces the minutiae seen in competing books. Each chapter provides summaries of what should be learned along the way and why the chapter’s topic is important, regardless of current events. For undergraduate business, economics or social science students otherwise, this book is a concise source of information on money, banking and financial markets.

chapter 1|9 pages

Understanding money

chapter 2|15 pages

Interest rates and financial markets

chapter 3|12 pages

Risk and risk aversion

chapter 5|16 pages

Derivative asset and insurance markets

chapter 6|15 pages

Financial intermediaries

chapter 7|22 pages

The microeconomics of banking

chapter 9|15 pages

The domestic market for money

chapter 11|29 pages

Money and the macroeconomy

chapter 12|19 pages

Monetary policy in the open macroeconomy

chapter 14|8 pages

The future of banking, private and central