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Macroeconomics, 9th Canadian Edition
Macroeconomics, 9/e
Campbell R. McConnell, University of Nebraska, Lincoln
Stanley L. Brue, Pacific Lutheran University
Thomas P. Barbiero, Ryerson University
Money and Banking

Internet Application Questions



1

Go to: www.canoe.ca/MoneyColumnsWhitehead/sept18_whitehead.html And answer the following questions:
  1. Distinguish between the three types of money definitions (M1, M2 and M2+).
  2. Use the article to explain how M1 might be used as an indicator of future inflation in Canada.

 
2

Go to: http://www.i5ive.com/article.cfm/3283/55987 and answer the following questions:
  1. According to the article, what is electronic money and how does it work?
  2. According to the textbook, why do North Americans generally prefer to use credit cards instead of smart cards (electronic money)?
  3. Under what conditions does using smart cards make more sense than using credit cards? Refer to the article. What potential problem could the Bank of Canada have with electronic money in the future? Refer to the textbook.

 




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