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16 Cards in this Set
- Front
- Back
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Barter
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the direct exchange of one good for anouther good, rather than for money
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Money
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Anything that serves as a medium of exchange, unit of account, and store of value
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Medium of exchange
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The primary function of money to be widely accepted in exchange for goods and services
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Unit of account
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The function of money to provide a common meausrement of the relative value of goods and services
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Store of value
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The abitlity of money to hold value over time
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Commodity money
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Anything that serves as money while having market value in other areas
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Fiat money
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Money accepted by law and not because of its redeemabilty or intrinsic value
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M1
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The narrowest definition of the money supply. It includes currency, traveler's checks, and checkable desposits
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Currency
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Money, including coins and paper money
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M2
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The definiton of money supply that equals M1 plus near monies, such as savings desposits and smaall time deposits of less than $100,000
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Federal Reserves system
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The 12 Centeral banks that service banks and other financial institutions within each of the Federal Reserve districts; popularly called "the Fed."
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Federal Reserve System
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The 12 centeral banks that service banks and other financial institutions within each of the Federal Reserve distiricts; popularly called "the Fed."
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Board of Governors of the Federal Reserve System
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The seven me,bers appointed by the president and confirmed by the U.S. Senate who serve for one nonrenuewable 14-year term. Their responsibility is to supervise and control the money supply and the banking system and the banking systme of the United states
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Federal Open Market Committee (FOMC)
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The Federal Reserve's committee that directs the buying and selling of U.S. governemtn securities, which are major instruments for controlling the money supply. The FOMC consists of the seven members of the Federal Reserve's board of Governors, the president of the New York Federal Reserve Bank, and the presidents of four other Federal Reserve district banks.
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Federal Desposit Insurance Corporation (FDIC)
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a Government agency established in 1933 to insure commersial bank desposits up to a specified limit
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Monetary Control Act
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A law, formally titled the Despository Institions Deregulaiton and Monetary Control Act of 1980, that gave the Federal Reserve System Greater control over nonmember banks and made all financial instiutions more competitive
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