How "money" is created in a fractional reserve banking system. M0 and M1 definitions of the money suppy. The multiplier effect.
Introduction to bank notes (which you are more familiar with than you realize).
More on how bank notes and checks can be used.
How banks can give out loans without ever giving out gold.
How reserve requirements limit how much lending a bank can do.
Seeing how reserve ratios limit how much lending I can do.
Videos on how banks work and how money is created.
Banks, which were first created in primitive form by goldsmiths hundreds of years ago, have evolved into central economic institutions that manage the allocation of resources, channel information about productive activities, and offer the public convenient investment vehicles. Although there are several types of banking institutions, including credit unions and Saving and Loan Associations, commercial banks are the largest and most importa...more
Behavioral Finance is a relatively recent revolution in finance that applies insights from all of the social sciences to finance. New decision-making models incorporate psychology and sociology, among other disciplines, to explain economic and financial phenomenon, such as erratic stock price variations. Psychological patterns such as overconfidence and perceived kinks in the value function seem to impact financial decision-making, but are...more
Beta distribution, Bayes' billards, finance preview and examples.
The difference between a bond and a stock.