... Capital/Investment - Interest/profitsTheCompetitiveMarket System• General equilibrium and efficiencyMarketImperfectionsand the Role of Government• Imperfect market structures - Monopoly - Monopolistic ... System,” and Chapter 26, “MoneyDemand and the Equilibrium Interest Rate,” we examine the money market. We bring thetwo markets together in Chapter 27, “Aggregate Demand in the Goods and MoneyMarkets,” ... Goldsmiths 506The Modern Banking System 507The Creation of Money 508The Money Multiplier 510The Federal Reserve System 511Functions of the Federal Reserve 512Expanded Fed Activities Beginning...