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Chapter 23


coin metallic form of money
currency both coin and paper money
commercial bank a financial institution that offers full bacnking services
Savings and Loans Association financial institutions that traditionally loaned moneyto people buying homes
credit union Non profit service cooperative that accepts deposits, makes loans, and provides other financial services
cerntral bank an institution that lends money to other banks
Federal Open Market committee the most powerful committee of the fed, because it makes decisions that affect the economy
discount rate the interest rate the fed charges on its loans
reserve a certain percentage of deposite that banks have to set aside as cash in their own vaults or as deposite in there federal reserve.
open market operations purchase or sale of US government bonds and tresury bills
checking account an account in which deposited money can be withdrawn at anytime by writing a check
saving account an account in which costomers receive interest based on how much money they have deposited
certificate of deposite timed deposite that states the smount of the deposite
Created by: maxfuentes