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Teaching Tools: Simulating Money Supply Creation in Class

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  • Cameron, Norman E

Abstract

Students in introductory economics or intermediate macroeconomics can learn and experience the process of creating money through an interactive simulation in which students play the roles of bankers, loan customers, and business firms. The simple version of this simulation is easy to set up, though many instructors will find the more structured version worth the additional setup cost. During the structured simulation, students encounter other macroeconomic concepts such as the marginal efficiency of investment curve, and broad versus narrow money. This simulation offers some experiential learning and adds variety to a macroeconomics course. Copyright 1997 by Oxford University Press.

Suggested Citation

  • Cameron, Norman E, 1997. "Teaching Tools: Simulating Money Supply Creation in Class," Economic Inquiry, Western Economic Association International, vol. 35(3), pages 686-693, July.
    • Handle: RePEc:oup:ecinqu:v:35:y:1997:i:3:p:686-93
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    Cited by:

    1. Jonathan E. Alevy & Paul Ronald Johnson, 2013. "A Classroom Financal Market Experiment," Working Papers 2013-01, University of Alaska Anchorage, Department of Economics.
    2. Rogmans, Tim, 2022. "The Impact of an Online Macroeconomics Simulation Game on Student Engagement and Performance," MPRA Paper 115283, University Library of Munich, Germany.
    3. Adam Hoffer, 2015. "A classroom game to teach the principles of money and banking," Cogent Economics & Finance, Taylor & Francis Journals, vol. 3(1), pages 1095448-109, December.

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