Federal Reserve System
5.3 Financial Terms
Monetary Policy
Monetary Policy
The regulation of a country's money supply to achieve economic goals and stability.
Discount Rate
Discount Rate
The interest banks pay to borrow money from a Federal Reserve Bank.
Prime Rate
Prime Rate
The interest rate that banks charge their best commercial customers.
Reserve Requirement
Reserve Requirement
The amount of money a bank must keep and not invest or loan out.
Thanks!
Federal Reserve System 5.3
Femino, Sheryl
Created on March 11, 2026
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Transcript
Federal Reserve System
5.3 Financial Terms
Monetary Policy
Monetary Policy
The regulation of a country's money supply to achieve economic goals and stability.
Discount Rate
Discount Rate
The interest banks pay to borrow money from a Federal Reserve Bank.
Prime Rate
Prime Rate
The interest rate that banks charge their best commercial customers.
Reserve Requirement
Reserve Requirement
The amount of money a bank must keep and not invest or loan out.
Thanks!