Demand and Supply of Money and Monetary Policy: Understanding Wealth and Money Supply

The video tutorial explores the concepts of money supply, wealth, and money, emphasizing the differences between them. It introduces key terms such as liquidity, narrow and broad money, and near and non-money. The tutorial examines the UK money supply, highlighting the predominance of bank accounts over physical cash. It defines narrow and broad money, explaining their roles in the economy. The video also discusses money demand and liquidity preference, focusing on how interest rates and economic conditions influence these factors. The tutorial concludes by explaining how the money supply accommodates changes in money demand.

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