Monetary and Fiscal Policy · Weeks 19-27

The Money Market and Interest Rates

How the demand and supply for money determine nominal interest rates.

Key Questions

  1. Explain the determinants of money demand.
  2. Analyze how changes in the money supply affect nominal interest rates.
  3. Predict the impact of interest rate changes on investment spending and aggregate demand.

Common Core State Standards

C3: D2.Eco.12.9-12C3: D2.Eco.11.9-12
Grade: 12th Grade
Subject: Economics
Unit: Monetary and Fiscal Policy
Period: Weeks 19-27

Suggested Methodologies

Graffiti Wall

Collaborative writing and drawing on a shared surface

15–30 min

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Problem-Based Learning

Tackle open-ended problems without predetermined solutions

35–60 min

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Think-Pair-Share

Individual reflection, then partner discussion, then class share-out

10–20 min

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