Money and Banking

Author: Wu Jun
Publisher:
Publish Date: 2006-08-01
Features: This book is divided into 14 chapters, with money, credit, and banking as the main thread, following the structure of money — credit — credit forms and instruments — credit institutions and transaction methods, systems — foreign credit (financial) relations — money supply and demand — monetary policy arrangements throughout the book. The content can be divided into five parts:
The first part consists of two chapters. It introduces the basic categories and knowledge of money and credit, with an angle and depth different from political economy.
The second part includes chapters 3, 4, 5, and 6. It introduces the specific forms of credit and money in real life, the institutional arrangements of transaction methods, and the determination of transaction prices, reflecting the composition of the financial institution system, the determination of interest rate levels and structures, the structure of financial markets, and transaction methods. After introducing financial markets and financial assets, it discusses the relationship between risk and return and provides an initial introduction to financial asset pricing theory. In this part, readers should also understand and reflect on the connection between the emergence and development of the modern financial system and financial markets and the level of commodity economic development.
The third part includes chapters 6, 7, 8, 9, and 10. Chapters 7 and 8 focus on the balance sheet and asset-liability operations of commercial banks and the central bank. These are the main forms of money and credit in the real economy. At the same time, the deposit creation mechanism in money supply and the macro-control of the central bank are achieved through their operations. Therefore, mastering this content is crucial for understanding monetary policy. Chapter 10 introduces the impact of economic exchanges between different economies on a country's monetary and credit field. The chapter on financial regulation is a supplement and extension of the previous eight chapters.
The fourth part includes chapters 11, 12, and 13. It mainly introduces money demand and supply, money equilibrium and aggregate supply and demand, and monetary policy. Money demand places more emphasis on theoretical discussion, but money supply, inflation and deflation, and monetary policy are highly empirical issues, which are of great significance for understanding the macro-control of the central bank.
The fifth part is chapter 14, which introduces the main content of financial development and financial innovation. Financial development theory essentially studies the impact of a country's financial industry development level on economic development, while the financial innovation section systematically introduces the new developments in financial practice, serving as a supplement to chapter 5 on financial markets and chapter 7 on commercial banks.
This book is divided into 14 chapters, with money, credit, and banking as the main thread, following the structure of money — credit — credit forms and instruments — credit institutions and transaction methods, systems — foreign credit (financial) relations — money supply and demand — monetary policy arrangements throughout the book.