Permintaan dan Penawaran Uang | Ekonomi SMA Kelas 11

Summary

In this video, Rian Boltok explains the concepts of money demand and money supply in economics. He breaks down Keynesian theory on the motives for money demand: transaction, precautionary, and speculative. Rian also discusses factors affecting money demand, such as interest rates and national income. Moving on to money supply, he explains its role, determined by Bank Indonesia through monetary policy, and provides formulas for money supply (M1, M2, M3). The video covers the relationship between money supply and interest rates, as well as the factors influencing money supply like inflation, production, and banking conditions.

Takeaways

• 😀 The concept of money demand according to Keynes includes three motives: transactions, precautionary, and speculative.
• 😀 The transaction motive refers to holding money to facilitate daily transactions, such as paying for goods or services.
• 😀 The precautionary motive involves holding money for unexpected events, like medical emergencies or unforeseen expenses.
• 😀 The speculative motive is about holding money to gain profit, such as buying low and selling high in markets like gold.
• 😀 The demand for money is inversely related to the interest rate: when interest rates rise, the demand for money falls.
• 😀 A shift in the money demand curve occurs with changes in national income, where an increase in income shifts the curve to the right, and a decrease shifts it to the left.
• 😀 Factors affecting money demand include societal preferences, wealth, availability of credit facilities (like credit cards), price expectations, and income certainty.
• 😀 Money supply is controlled by the central bank (Bank Indonesia) and can be calculated using formulas involving M1, M2, and M3 money aggregates.
• 😀 The money supply is affected by the central bank's monetary policy, with a direct relationship between the supply of money and interest rates, though the curve for money supply is vertical due to its control by the central bank.
• 😀 Factors influencing money supply include interest rates, inflation, production levels, and overall economic health (e.g., banking system, exchange rates, and public preferences).
• 😀 The importance of sharing knowledge about economic concepts and the need to support educational channels to help others learn better.

Q & A

What are the three motives for the demand for money according to Keynes?

According to Keynes, the three motives for the demand for money are: 1) Transaction motive: Money held for everyday transactions, 2) Precautionary motive: Money held for unexpected events or emergencies, and 3) Speculative motive: Money held to make profits by investing when prices are favorable.

How does the interest rate affect the demand for money?

The demand for money is inversely related to the interest rate. As the interest rate increases, the demand for money decreases, and vice versa, because people prefer to invest money in assets that yield a return when interest rates are high.

What causes a shift in the money demand curve?

The money demand curve can shift due to changes in national income or the overall economic activity. For example, when national income increases, the money demand curve shifts to the right, indicating a higher demand for money. Conversely, a decrease in national income shifts the curve to the left.

What factors influence the demand for money?

Factors influencing the demand for money include public preferences, wealth levels, available credit facilities (like credit cards), price expectations, income expectations, and the prevailing payment systems.

What is the money supply and who controls it?

The money supply refers to the total amount of money available in an economy. In Indonesia, the central bank, Bank Indonesia, controls the money supply through monetary policy.

What are the components of the money supply?

The money supply consists of M1 (coins, paper money, and checking accounts), M2 (M1 plus savings accounts and time deposits), and M3 (M2 plus long-term deposits and other liquid assets).

What is the difference between the classical and modern theories of money supply?

The classical theory of money supply is based on the gold standard, where the supply of money is tied to the amount of gold available. In contrast, the modern theory involves central banks (like Bank Indonesia) controlling the money supply and producing primary money, while financial institutions create secondary money.

How does the supply of money relate to interest rates?

The supply of money is positively related to interest rates. When interest rates are high, the supply of money is high as banks and financial institutions offer more favorable terms for borrowing. When interest rates are low, the money supply decreases as borrowing becomes less attractive.

What is the shape of the money supply curve and why?

The money supply curve is typically vertical (or a straight line) because the supply of money is fixed by the central bank. No matter the interest rate, the amount of money in the economy remains constant in the short term.

What factors affect the supply of money?

The supply of money is influenced by factors such as interest rates, inflation, national income, production levels, banking health, currency exchange rates, and public preferences regarding credit and savings.