DSST Money and Banking case studies
DSST Money and Banking · Put your knowledge to work in context.
The DSST Money and Banking exam is a standardized, multiple-choice credit-by-examination test that lets learners earn college credit in money and banking or introductory finance without sitting through a full course. It is most useful for adult learners, military service members, and transfer students who already understand basic economics and want to demonstrate that knowledge efficiently. The exam spans money and the financial system, financial markets and instruments, financial institutions and intermediation, central banking and the Federal Reserve, monetary theory and policy, international finance and exchange rates, and bank management and regulation, with monetary theory carrying the largest share. Expect conceptual and applied questions rather than heavy calculation: you should be able to connect a policy action to interest rates, credit conditions, and aggregate demand, and to read a balance sheet or a simple rate-of-return problem. The DSST Money and Banking case studies are 5 cases and about 3,155 words.
1When Mobile Money Changes the Aggregates
Maru is a small open economy with a domestic currency, the maru, and widespread unofficial use of U.S. Mobile-money wallets now handle 62% of retail payments.
660 words, about 3 min2The Rumor at Riverbend Savings
Riverbend Savings is a 1.2 billion community bank. Loans are 84% of assets; uninsured deposits are 22% of deposits; available-for-sale securities of 150 million carry 14 million of unrealized losses.
629 words, about 3 min3Repo Spike and the Fed's Corridor
At a quarter-end, the federal funds rate trades at 5.10% against a target range of 2.25–2.50%. SOFR jumps from 2.30% to 5.25%.
654 words, about 3 min4Taylor Rule Versus a Depreciating Currency
The central bank of a small open economy has a policy rate of 4.0%, inflation at 6.8% against a 3% target, and an output gap of -2.5%. The exchange rate has depreciated 12% over six months; estimated pass-through to inflation is 0.35.
588 words, about 3 min5Duration Gap at Cedar Bank
Cedar Bank has 10 billion in assets and a duration gap: asset duration is 6.5 years, liability duration is 4.0 years, and equity is 8% of assets. It holds a 2 billion bond portfolio with modified duration 5.2 and $500 million of floating-rate loans.
624 words, about 3 min