Ch 76: NMTA: Money, Banking & Financial Markets

About This Chapter

Get reacquainted with money, banking and financial markets by watching engaging video lessons. Use the videos to study for the NMTA Middle Grades Social Science test then take lesson quizzes to gauge your comprehension of the materials.

NMTA: Money, Banking & Financial Markets - Chapter Summary

The lessons in this chapter can help you refresh your knowledge of money, banking and financial markets as you prepare for the NES Middle Grades Social Science test, which has replaced the NMTA test. After watching the videos, you should be prepared to answer questions that address the following:

  • Identifying types of financial assets
  • Examining the concept of present and future value of money
  • Analyzing how to measure the money supply
  • Defining money and examining its four basic functions
  • Understanding the fractional reserve system
  • Analyzing how money is made
  • Examining the money multiplier, money demand and the money market

Using the video lessons to prepare for your exam is simple. You can watch and rewind at your own leisure and even access video timelines to skip to specific sections in the lessons. The instructors offer entertaining visual effects that make the learning process fun, while ensuring you get the comprehensive overview of money, banking and financial markets you deserve.

NMTA: Money, Banking & Financial Markets Chapter Objectives

The topics covered in the NMTA: Money, Banking & Financial Markets chapter are located in the economics portion of the exam, which constitutes approximately 12% of the total test. The NES Middle Grades Social Science assessment gauges your comprehension of the subject to ensure you're ready to secure your teaching license in New Mexico. To get you steps closer to your goal, you can examine the video lessons in this chapter then take short self-assessment quizzes and a chapter exam to assess your comprehension of the materials. If you have any questions about this chapter, instructors are ready to assist.

The assessment is composed of all multiple-choice questions. You will be asked to review each question carefully then examine a set of four answers. After determining which answer best responds to the question, you will select it as the correct option.

10 Lessons in Chapter 76: NMTA: Money, Banking & Financial Markets
Test your knowledge with a 30-question chapter practice test
Types of Financial Assets: Money, Stocks & Bonds

1. Types of Financial Assets: Money, Stocks & Bonds

For an economy to operate effectively, consumers and businesses need a common medium of exchange and mechanisms to encourage some people to save, others to borrow and others to invest. In any modern economy, these needs are met with money, stocks and bonds.

Present and Future Value: Calculating the Time Value of Money

2. Present and Future Value: Calculating the Time Value of Money

A central concept in business and finance is the time value of money. We will use easy to follow examples and calculate the present and future value of both sums of money and annuities.

Measuring the Money Supply: Explanation and Examples

3. Measuring the Money Supply: Explanation and Examples

Discover how the Federal Reserve defines the money supply by exploring the components of the money stock. In this lesson, we also look at the money supply in terms of function and liquidity.

What is Money? - Definition and Types

4. What is Money? - Definition and Types

In this lesson, you'll learn what money is and its four basic functions. You'll also take a look at how it benefits society and explore the different types of money.

The Four Basic Functions of Money

5. The Four Basic Functions of Money

This lesson uses real-world examples to describe the four basic functions that money serves in an economy. These basic functions help to create the foundation of the money system.

Fractional Reserve System: Required and Excess Reserves

6. Fractional Reserve System: Required and Excess Reserves

This lesson provides an overview of basic banking concepts, illustrating how deposits turn into required reserves and excess reserves. It also covers how a bank accounts for these items on its balance sheet.

How Money Is Made: Understanding Bank Lending in the Economy

7. How Money Is Made: Understanding Bank Lending in the Economy

In this lesson, you'll learn how a single deposit in a local bank increases the money supply and filters through the economy with the help of the fractional reserve banking system.

Money and Multiplier Effect: Formula and Reserve Ratio

8. Money and Multiplier Effect: Formula and Reserve Ratio

In this lesson, explore the concept of the multiplier effect and the money multiplier. Then, learn the formula for calculating changes in the money supply.

Money Demand and Interest Rates: Economics of Demand

9. Money Demand and Interest Rates: Economics of Demand

Learn about the differences between money, wealth and income and explore the factors that determine the demand for money in an economy. Take a look at the demand curve for money as well.

The Money Market: Money Supply and Money Demand Curves

10. The Money Market: Money Supply and Money Demand Curves

This lesson explores an economic model describing the supply and demand for money in a nation, referred to as the money market. It also describes the central bank's role in controlling the money supply, which impacts interest rates and the greater economy.

Chapter Practice Exam
Test your knowledge of this chapter with a 30 question practice chapter exam.
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Practice Final Exam
Test your knowledge of the entire course with a 50 question practice final exam.
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Other Chapters

Other chapters within the NMTA Middle Grades Social Science (202): Practice & Study Guide course

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