Unti 4 eco

Lakukan tugas rumah & ujian kamu dengan baik sekarang menggunakan Quizwiz!

Federal reserve bank

The system created as many as 12 regional Federal Reserve Banks throughout the country.

Federal reserve board

This board has members that are appointed by the President of the U.S. and they supervise the Federal Reserve Banks.

Short term loans

When each of the regional Federal Reserve Banks allowed member banks to borrow money to meet short-term demands. This helps prevent bank failures

National bank

A bank chartered, or licensed, by the federal government. It has the power to issue a national currency, manage the federal government's funds and monitor other banks throughout the country.

Central bank

A bank that can lend to other banks in times of need

Bank holding company

A company that owns more than one bank.

Gold standard

A monetary system in which paper money and coins had the value of certain amounts of gold. The gold standard set a definite value for the dollar

Bank

An institution for receiving, keeping and lending money

Money

Anything that serves as a medium of exchange, a unit of account, and a store of value

Member banks

Banks that belong to the Fed. They store some of their cash reserves at the Federal Reserve Bank in their district

Currency

Coins and paper bills used as money

Greenbacks

Issued in 1861, it was the first paper currency issued by the United States Treasury after the continental. They were officially called demand notes.

Fiat money

Legal tender has value because a government has decreed that it is an acceptable means to pay debts.

Store of value

Money keeps its value if you decide to hold on to or store it instead of spending it.

Medium of exchange

anything that is used to determine value during the exchange of goods and services.

Specie

coins made of gold or silver

Commodity money

consists of objects that have value in and of themselves and that are also used as money for example salt and precious stones

Reserve

deposits that a bank keeps readily available as opposed to lending them out.

Federal reserve notes

The currency we use in the U.S. today, created by the Federal Reserve Bank System.

Federal funds rate

The interest rate that banks charge each other for these loans

Unit of account

The money which provides a means for comparing the values of goods and services

Discount rate

The rate the Federal Reserve charges for these loans

Foreclosures

The seizure of property from borrowers who are unable to repay their loans.

Representative money

makes use of objects that have value solely because the holder can exchange them for something else of value.

The monetary policy

the actions that the Fed takes to influence the level of real GDP and the rate of inflation in the economy.

Reserve requirements

the amount of reserves that banks are required to keep on hand.

Barter

the direct exchange of one set of goods or services for another

Check clearing

the process by which banks record whose account gives up money and whose account receives money as a result of a customer writing a check

Bank runs

widespread panics in which great numbers of people try to redeem their paper money at the same time. This causes many banks to fail.


Set pelajaran terkait

diathesis-stress model of stress illness

View Set

AP Psychology Research Methods Review

View Set

PN NCLEX 6th Edition- Mental Health

View Set

Google Ads Search (AdWords) Certification 2020

View Set

Chapter 5 & Chapter 6 Test Questions

View Set

Organizational Behavior Test 1 Review

View Set