Guides d'apprentissage - Anglais - Page 2

What is conventional monetary policy? Conventional monetary policy is a set ofinstruments available to a central bank to control the money supply level. These include instruments that have been…

What is an expansive monetary policy? An expansive monetary policy is activity by the central bank to stimulate economic activity in a country or geographical area. This type of policy is adopted…

What is unconventional monetary policy? Unconventional monetary policy is a set of measures taken by a central bank to bring an end to an exceptional economic situation. Central banks use these…

What is a restrictive monetary policy? A restrictive monetary policy is a set of central bank measures aimed at combating an inflation rate that is too high. The objective is therefore to stop…

What is monetary policy? Monetary policy is the action taken by a central bank to influence the money supply level of a country or geographical area. In the European Union, the ECB (European…

What is a policy rate? A policy rate is a short-term reference rate set by a central bank. In reality, there are three different policy rates. The main one, and the one that everyone talks about…

What is a liquidity trap? A liquidity trap is an economic situation in which the central bank is unable to generate inflation despite monetary stimulus. A liquidity trap marks the failure of…

Unlike the FED’s monetary policy, we are going to study the FED’s fiscal policy in a generic way, as its effects are mechanically comparable regardless of the legislation. The budget can only…

What is fiduciary money? Fiduciary money, or currency, refers to banknotes and coins in circulation in the economy. This is the liquidity available to economic actors to carry out transactions. It…

What is scriptural money? Scriptural or book money is the money available on the current accounts of households and businesses. It is a simple accounting entry made by a financial institution…

What is money creation? Money creation is the process leading to an increase in the money supply. This money supply can be divided into 2 main categories: - currency: This is notes and coins in…

What is QE? Quantitative Easing (QE) is monetary easing, organized by a central bank, to stimulate economic activity within a country. It is an unconventional measure causing an increase in the…

Policy rates are one of the main tools of central banks’ monetary policy. They have a big impact on financial markets and the economy. There are also major movements in Forex and global stock…

A country's monetary policy is driven by central banks. The best known (ECB, FED, BoJ and BoE) are independent, but some are directly linked to the government as is the case in China. There are three…

Definition of the money supply The money supply is the volume of money in circulation at a given time T. It is the monetary authorities (central banks) that determine how much this volume should…

As important as it is to understand economic activity indicators, it would be useless if this knowledge were not used to anticipate monetary policy actions and more particularly the actions of the…

Definition of a central bank Central banks are independent public institutions that are responsible for the monetary policy within their country or geographical area. They are mandated by the State…

Detecting trend reversals is very useful in trading. It enables you to protect your gains by cutting your position or taking a position in the opposite direction to the current trend (counter trend…

Knowing how to identify the signals of a recovery in a bullish/bearish trend is a key element of technical analysis.As we often say "The trend is your friend". Novice traders look at trading…

Definition of spread A spread corresponds to the difference between the best buy price (ask) and the best selling price (bid) offered on the asset order book. This is the price at which you can buy…