SlideShare a Scribd company logo
 
“ The Monetary System”
Group Members ,[object Object],[object Object],[object Object],[object Object],[object Object]
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
What is Money????
[object Object]
Properties Of Money ,[object Object],[object Object],[object Object],[object Object]
Mr. Aqeel Abbas
Kinds Of Money ,[object Object],[object Object],[object Object],[object Object],[object Object]
Commodity money ,[object Object],[object Object],[object Object],[object Object]
Convertible Paper Money ,[object Object],[object Object]
Inconvertible Paper Money ,[object Object],[object Object],[object Object]
Bank Deposits ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Electronic Money ,[object Object],[object Object],[object Object]
Mr. Naeem
Functions of Money
Money as Medium of Exchange ,[object Object],[object Object],[object Object],[object Object],[object Object]
Money as a unit of Account ,[object Object],[object Object]
Money as a store of Value ,[object Object],[object Object],[object Object],[object Object]
Miss Sehrish Taj
Are credit cards money???
Why people hold money???
Three motives of holding money!!! ,[object Object],[object Object],[object Object]
Transactions Demand ,[object Object],[object Object],[object Object]
Precautionary Motives ,[object Object],[object Object],[object Object]
Speculative Motives ,[object Object],[object Object],[object Object]
INTEREST ,[object Object]
Mr. Suhail Anjum
Money Supply Definitions
Monetary Base ,[object Object],[object Object],[object Object],[object Object]
Broad Money ,[object Object]
Currency ,[object Object],[object Object],[object Object]
Cheque Account Deposits ,[object Object],[object Object],[object Object]
Determination of Interest Rate
Equilibrium Interest Rate
Excess quantity of money demanded Excess money demand Interest rate rises People sell Bonds Bonds prices fall Excess demand for money causes interest rates to rise.
Excess quantity of money supplied Excess money supplied Interest rate falls People buy Bonds Bonds prices rises Excess supply for money causes interest rates to fall.
Thanks a lottt!!!
 

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Functions Of Money