Chapter 17 Flashcards
1
Q
Bartering
A
Exchanging goods and services
2
Q
Currency
A
The coins and paper bills used as money in an economy
3
Q
Demand deposit
A
The money in a checking account
4
Q
Money supply
A
Total amount of money available for use as a medium of exchange
5
Q
Loan
A
Amount of money borrowed for a certain time
6
Q
Fractional reserve banking
A
Banks keep a percentage of checking and savings deposits in reserve
7
Q
Federal reserve system
A
Provides important services to United States banks and regulates their activities
8
Q
Board of governors
A
Responsible for running the federal reserve system as a whole
9
Q
Recession
A
A slowdown in Economic activity and production
