I. INTRODUCTION.
1. Why Study Money, Banking, and Financial Markets?
2. An Overview of the Financial System.
3. What Is Money?
II. FINANCIAL MARKETS.
4. Understanding Interest Rates.
5. The Behavior of Interest Rates.
6. The Risk and Term Structure of Interest Rates.
7. The Foreign Exchange Market.
III. FINANCIAL INSTITUTIONS.
8. An Economic Analysis of Financial Structure.
9. The Banking Firm and the Management of Financial Institutions.
10. Banking Industry: Structure and Competition.
11. Economic Analysis of Banking Regulation.
12. Nonbank Financial Institutions.
13. Financial Derivatives.
IV. CENTRAL BANKING AND THE CONDUCT OF MONETARY POLICY.
14. Structure of Central Banks and the Federal Reserve System.
15. Multiple Deposit Creation and the Money Supply Process.
16. Determinants of the Money Supply.
17. Tools of Monetary Policy.
18. Conduct of Monetary Policy: Goals and Targets.
19. The International Financial System.
20. Monetary Policy Strategy: The International Experience.
V. MONETARY THEORY.
21. The Demand for Money.
22. The Keynesian Framework and the ISLMModel.
23. Monetary and Fiscal Policy in the ISLMModel.
24. Aggregate Demand and Supply Analysis.
25. Transmission Mechanisms of Monetary Policy: The Evidence.
26. Money and Inflation.
27. Theory of Rational Expectations and Efficient Capital Markets.
28. Rational Expectations: Implications for Policy.
