Money and Banking

Author: Qian Daye
Publisher:
Publishing Time: Not available
Features: Monetary Banking is a core foundational course in the field of economics. This course is based on the economic operation and financial activities under market economy conditions, connecting the actual economic transformation and financial reform and development in China with the historical and current realities of global financial development and changes. It strives to systematically and comprehensively reflect the content of the framework of financial theory, as well as the new developments, emerging issues, and situations in contemporary financial theory and practice. Monetary Banking summarizes the fundamental theories and knowledge system of the financial discipline. Similar to how economics describes microeconomic operations with the maximization of firm and consumer behavior and market equilibrium as its main thread, and describes macroeconomic operations with the distribution and equilibrium of national income in the overall economy as its main thread, Monetary Banking describes microfinancial operations with the maximization of "financial firms" and "financial consumers" behavior and market equilibrium as its main thread, and describes macrofinancial operations with the supply, demand, and equilibrium of money in the overall economy as its main thread. Monetary Banking reflects the general characteristics of the development of contemporary financial theory and practice. The development of contemporary financial theory and practice exhibits two significant characteristics: First, finance increasingly demonstrates its core role in the economy. Macroeconomic phenomena closely related to finance, such as "inflation," "deflation," "stagflation," and "stable growth," continuously validate the theories of money supply and demand and their equilibrium, constantly raising higher-level requirements for macrofinancial regulation, and leading to the increasing maturity and refinement of "macrofinancial" theory. Second, the competition and innovation in the financial industry have led to the growing prosperity of financial instruments and markets. Financial micro-entities are increasingly demanding technical and operational approaches to enhance competitiveness and innovation capabilities. As a result, finance is becoming more technologically and engineering-oriented, and "microfinancial" theory is becoming more vibrant and enriched. It not only analyzes and summarizes the methods and tools of various financial activities but, more importantly, provides theoretical models and methods for financial micro-entities to follow in liquidity management, risk management, asset pricing, investment decisions, and other areas.