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Wednesday 923

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  Mostly summarized from Gregory Mankiw’s Principles of Economics, 5th Ed. PART 10 Money and Prices in the Long Run Chapter 29 of 36 The Monetary System Section 20 of 20 … A bank run occurs when depositors worry a bank may go bankrupt and run to the bank to withdraw their money as cash from the bank’s vault. Bank runs are an inherent problem for banks in a fractional-reserve banking system. Because a bank holds in reserve only a fraction of its deposits and loans out the rest it cannot satisfy withdrawal requests from all depositors at once. When a run occurs the bank is forced to close until · some bank loans are repaid · the Fed provides it with currency … During the Great Depression in the early 1930s there was a series of bank runs and bank closings. Households withdrew their deposits from banks, preferring to hold their money as currency at home. This reversed the process of money creation, money was destroyed rather than created. Banks told people with loans they had to repay...
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Tuesday 922

  Mostly summarized from Gregory Mankiw’s Principles of Economics, 5th Ed. PART 10 Money and Prices in the Long Run Chapter 29 of 36 The Monetary System Section 19 of 20 … As discussed in previous sections, the Fed has these three tools to control the money supply, open-market operations, reserve requirements, and the discount rate. However, the Fed's money supply control is not complete. The Fed faces two problems beyond its control. Each arises because the money supply is created by the fractional-reserve banking system. … #1 problem is the Fed does not control the amount of money households decide to keep as deposits in banks. The more money households deposit at banks · the more reserves (money held at banks to pay depositors’ demands for their money rather than loaned out) banks have · the more money the banking system can create by making loans Conversely, the less money households deposit at banks · the less reserves banks have · the less money the banking system can create ...
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Monday 921

  Mostly summarized from Gregory Mankiw’s Principles of Economics, 5th Ed. PART 10 Money and Prices in the Long Run Chapter 29 of 36 The Monetary System Section 18 of 20 … The Fed has three tools for changing the money supply -1- open-market operations -2- reserve requirements -3 - the discount rate … -3 - The Discount Rate The discount rate is the interest rate on loans the Fed makes to banks. A bank borrows from the Fed at the discount rate when its reserves are too low to meet its reserve requirements. This can happen because the bank · has made too many loans · has had unexpectedly large withdrawals When the Fed makes such a loan to a bank · the banking system now has more reserves · these additional reserves allow banks to make new loans, creating more money … By changing the discount rate the Fed can alter the money supply. A higher discount rate · reduces the amount of reserves banks have · which reduces bank loans and the money supply A lower discount rate · increases the ...
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Scot and Fumiko pictures and information

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  Fumiko Scot's information: Weight at 166 pounds, got to 160 pounds five years ago and have recently been bouncing between 163 and 168. Common sense ways to lose and keep off weight are eat right and light and get lots of exercise. Main exercise is walking, do 1~2 miles most days. Over career worked as a salesman in the steelmaking, fasteners, and auto manufacturing industries, lots of travel in U.S., Canada, Mexico, and Japan. Have visited every U.S. city with a major league, MLB, NFL, NBA, NHL, sports team except Sacramento, have gotten as close as Travis Air Force Base. Often traveled on Sundays, much time on the road so could not eat right and get enough exercise so got heavy, up to 200 lbs. Was on commission and made enough to retire early, able eat good food and get enough exercise. Now spend most time reading and writing. Our Wick branch goes back to the brother of owner of the Wick House at Morristown National Historical Park in Morristown New Jersey, and on back to Staine...
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HAT Manifesto Part 1 of 2 Rubric Cube Veracity and or Efficacy - 260802 edit

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  “The world we see that seems so insane is the result of a belief system that is not working. To perceive the world differently, we must be willing to change our belief system, let the past slip away, expand our sense of now, and dissolve the fear in our minds.” - William James “All experience has shown mankind are more disposed to suffer, while evils are sufferable, than to right themselves by abolishing the forms to which they are accustomed.” - Thomas Jefferson “Wherever good fortune enters, envy lays siege and attacks it. And when it departs, sorrow and repentance remain behind.” - Leonardo da Vinci “Struggle is the indispensable accompaniment of progress. If men were entirely social, man would stagnate. A certain alloy of individualism and competition is required to make the human species survive and grow. Without qualities of an unsocial kind men might have led an Arcadian shepherd life in complete harmony, contentment, and mutual love. But in that case all their talents wou...
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