- What are financial intermedianies? Are they associated with direct or indirect finance? What are the functions and benefits attributed to financial intermediaries? - Be able to identify situations of direct and indirect finance. (HW\#1) - Be able to identify the country associated with different stock exchanges ((S\&P 500, Hang Seng, FTSE, etc.) (HW HI) Money Defined and Banking Activity - What are the four functions of money and how are they described? Be able to identify each function for a given example. - What are the three types of payment systems? With which type of system are cryptocurrencies associated? Be able to identify each system for a given example. - What is the concept of liquidity? - How are the monetary aggregates of M 1 and M2 defined? Know what assets are included in each measure. Which aggregate has the higher liquidity? - How did the behavior of M1 change after 2008 compared to before? (HWH2) - What is a depository institution? What are the three types of depository institutions in the US? - What is the largest banks asset category and largest bank liability category? - What does it mean for a bank to have liquidity problems? What does it mean for a bank to have leverage problems? - What are tiree arguments against cryptocurrency being considered money? (HWH2) - What has been the trend in the mumber of banks and the size of banks in the US since the 1980 s? (HW\#2) - What has been the trend in the size of banking activity relative to the overall economy since the 1970 s? (HW2) .