Liquidity and Credit Creation

Y. C. Jao
Additional contact information
Y. C. Jao: University of Hong kong

Chapter 7 in Banking and Currency in Hong Kong, 1974, pp 168-200 from Palgrave Macmillan

Abstract: Abstract In countries where a central bank exists, the traditional theory of money and credit is that it is a quantity uniquely controlled by the monetary authorities. Given the banks’ reserve ratio and the public’s cash ratio (b and p in the previous chapter), the central bank is said to be able to control the total quantity of money and credit by manipulating the reserve base (vault cash plus balances with the central bank).

Keywords: Central Bank; Banking System; Balance Sheet; Money Supply; Banking Sector (search for similar items in EconPapers)
Date: 1974
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-349-02199-4_7

Ordering information: This item can be ordered from
http://www.palgrave.com/9781349021994

DOI: 10.1007/978-1-349-02199-4_7

Access Statistics for this chapter

More chapters in Palgrave Macmillan Books from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().