Monetary Policy for a Competitive Society

adjustments aggregate demand amount automatic billion bonds borrowing budget cent central bank consequence cost decline decrease deficit deposits depression desirable discretionary disturbances economy effect equilibrium expenditures export extent fact factors Federal Reserve Federal Reserve System fixed exchange rates flexible fluctuations fractional-reserve banking frictional unemployment importance increase industry inflation influence international gold standard international standard investment J. M. Keynes Keynes liquidity preferences loans maintain means ment Milton Friedman mone monetary action monetary agency monetary policy monetary stability monetary system money income national standard Nevertheless offset open-market operations policy of monetary policy of stabilizing possible prevail price level prices of domestic prices of international propensity to hoard quantity of money rate of interest reason reduce relative prices Reserve banks reserve commodities reserve ratios Reserve System rise short-term speculative stabilize the price stabilizing an index stock of money tary theory tion variations velocity volume wage rates