Ch. 16 Vocab Worksheet
1. Federal Open Market Committee
2. Inside Lag
3. Check Clearing
4. Monetary Policy
5. Open Market Operations
6. Tight Money Policy
7. Discount Rate
8. Easy Money Policy
9. Outside Lag
10. Federal Funds Rate
A. The buying and selling of government securities to alter the supply of money.
B. Monetary policy that increases the money supply.
C. The time it takes for monetary policy to have an effect.
D. The process by which banks record whose account gives up money and whose account receives money when a customer writes a check.
E. Interest rate banks charge each other for loans.
F. Federal Reserve committee that makes key decisions about interest rates and the growth of the money supply.
G. Monetary policy that reduces the money supply.
H. Delay in implementing monetary policy.
I. Rate the Federal Reserve charges for loans to commercial banks.
J. The actions the Federal Reserve take to influence the level of real GDP and the rate of inflation in the economy.
1. Federal Open Market Committee
2. Inside Lag
3. Check Clearing
4. Monetary Policy
5. Open Market Operations
6. Tight Money Policy
7. Discount Rate
8. Easy Money Policy
9. Outside Lag
10. Federal Funds Rate
A. The buying and selling of government securities to alter the supply of money.
B. Monetary policy that increases the money supply.
C. The time it takes for monetary policy to have an effect.
D. The process by which banks record whose account gives up money and whose account receives money when a customer writes a check.
E. Interest rate banks charge each other for loans.
F. Federal Reserve committee that makes key decisions about interest rates and the growth of the money supply.
G. Monetary policy that reduces the money supply.
H. Delay in implementing monetary policy.
I. Rate the Federal Reserve charges for loans to commercial banks.
J. The actions the Federal Reserve take to influence the level of real GDP and the rate of inflation in the economy.