In this chapter, you will learn about the following: Measuring trade balances, Trade balances in historical and international context, Trade balances and flows of financial capital, The national saving and investment identity, The pros...

This is an introduction to the Exchange Rates & International Capital Flows chapter. You will learn about the following in this chapter: How the foreign exchange market works, Demand and supply shifts in foreign exchange markets,...

This is an introduction to AP Macroeconomics; it includes an outline of what you will learn in Chapter 1. You will learn about the following: Economics and why it is important, microeconomics and macroeconomics, how economists use...

In this chapter, you will learn about the following: Defining money by its functions; Measuring money-currency; M1, and M2; The role of banks; and How banks create money.

In this chapter, you will learn about the following: The Federal Reserve banking system and central banks, bank regulation, how a central bank executes monetary policy, monetary policy and economic outcomes, and the pitfalls for monetary...

In this chapter, you will learn about the following: How government borrowing affects investment and the trade balance, Fiscal policy, investment, and economic growth, How government borrowing affects private saving, and Fiscal policy...

In this chapter, you will learn about the following: Aggregate demand in Keynesian analysis, the building blocks of Keynesian analysis, the expenditure-output or Keynesian cross model, the Phillips curve, the Keynesian perspective on...

In this chapter, you will learn about the following: Government spending; Taxation; Federal deficits and national debt; Using fiscal policy to fight recessions, unemployment, and inflation; Automatic stabilizers; Practical problems with...

In this chapter, you will learn about the following: Macroeconomic perspectives on demand and supply; Building a model of aggregate supply and aggregate demand, Shifts in aggregate supply; Shifts in aggregate demand; How the aggregate...