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Copyright © 2002 Pearson Education, Inc. Slide 1.

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Presentation on theme: "Copyright © 2002 Pearson Education, Inc. Slide 1."— Presentation transcript:

1 Copyright © 2002 Pearson Education, Inc. Slide 1

2 Copyright © 2002 Pearson Education, Inc. Slide 2 Money in the Open Economy Chapter 13

3 Copyright © 2002 Pearson Education, Inc. Slide 3 Table 13-1

4 Copyright © 2002 Pearson Education, Inc. Slide 4 Figure 13-1 The Real Exchange Rate for Canada vs. the United States

5 Copyright © 2002 Pearson Education, Inc. Slide 5 Figure 13-2 The Goods Market in the Monetary Small Open-Economy Model

6 Copyright © 2002 Pearson Education, Inc. Slide 6 Figure 13-3 The Money Market in the Monetary Small Open-Economy Model with a Flexible Exchange Rate

7 Copyright © 2002 Pearson Education, Inc. Slide 7 Figure 13-4 An Increase in the Money Supply in the Monetary Small Open-Economy Model with a Flexible Exchange Rate

8 Copyright © 2002 Pearson Education, Inc. Slide 8 Figure 13-5 An Increase in the Foreign Price Level in the Monetary Small Open-Economy Model with a Flexible Exchange Rate

9 Copyright © 2002 Pearson Education, Inc. Slide 9 Figure 13-6 An Increase in the World Real Interest Rate with a Flexible Exchange Rate

10 Copyright © 2002 Pearson Education, Inc. Slide 10 Figure 13-7 The Money Market in the Monetary Small Open-Economy Model with a Fixed Exchange Rate

11 Copyright © 2002 Pearson Education, Inc. Slide 11 Table 13-2

12 Copyright © 2002 Pearson Education, Inc. Slide 12 Figure 13-8 An Increase in the Foreign Price Level in the Monetary Small Open-Economy Model with a Fixed Exchange Rate

13 Copyright © 2002 Pearson Education, Inc. Slide 13 Figure 13-9 An Increase in the World Real Interest Rate with a Fixed Exchange Rate

14 Copyright © 2002 Pearson Education, Inc. Slide 14 Figure A Devaluation in Response to a Temporary Total Factor Productivity Shock

15 Copyright © 2002 Pearson Education, Inc. Slide 15 Figure A Temporary Total Factor Productivity Shock, With and Without Capital Controls

16 Copyright © 2002 Pearson Education, Inc. Slide 16 Figure A Total Factor Productivity Shock Under a Fixed Exchange Rate, With and Without Capital Controls


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